Alltel
Corp. or its private equity buyers could be charged a $625 million breakup fee
if their $27.5 billion leveraged buyout is called off, documents filed with
the Securities and Exchange Commission state. Under some circumstances, buyers
TPG and Goldman Sachs Capital Partners could also recoup up to $35 million in
fees if the deal is squelched.
The
deal was announced May 20. The parties can terminate the transaction if it
does not close within 12 months; however, there are circumstances under which
the deadline can be extended. Little Rock, Ark.-based Alltel cannot encourage
or initiate talks with other bidders. If it receives a bid, there are
circumstances under which it can talk with the rival suitor. —Chris
Nolter
See
May 21 story from TheDeal.com
