Buyout shops Gores Group LLC, Mivtach Shamir Holdings Ltd. and DGB
Investments Inc.
proposed changes to the
$475 million deal, which was
announced in March. However, Gilat's board balked at the "substantially
different" proposals, setting up a game of chicken that headed up to the
deal's closing deadline of Aug. 28, 2008. Gilet is now looking for
its $47.3 million breakup fee, which it claims is payable to the
company "by Sept. 10, 2008, in the event of an intentional breach
of the agreement by the purchasers." -
George White
See press release
See story on TheDeal.com
See story on the March LBO on TheDeal.com