Just a month after it appeared that Hinsdale, IL-based Pangea Holdings had won the auction for apparel cataloger Newport News, an entity called Newport News Holding Corpo. announced on June 24, that, along with senior management and San Francisco-based Golden Gate Capital, it had purchased Newport News from Downers Grove, IL-based Spiegel Group.
On May 11, Pangea Holdings–led by former Spiegel executive Christian Feuer–bid $28.6 million for Newport News. But “Pangea, as a holding company, is no longer involved in the deal,” says Newport News spokesperson Sonya Hartland. The three principals of Pangea Holdings are shareholders in Newport News Holdings Corp., however, and will act as investors and consultants to management.
Geralynn Madonna, who had previous headed Newport News and the Spiegel Catalog, is president/CEO. Pangea principal Feuer will act as interim chief operating officer.
And news on the Spiegel Catalog transaction, which has yet to formally close, could be forthcoming, Hartland says. Pangea Holdings won Spiegel Catalog at auction on June 15. On May 24, it had placed a “stalking horse” bid for Spiegel Catalog of $53.4 million in the form of $22 million in inventory commitments, $29.4 million in assumed liabilities, and $2 million in cash.