M&A Deal Summary

Bertelsmann Acquires Columbia House

On July 5, 2005, Bertelsmann acquired retailer Columbia House from The Blackstone Group

Acquisition Highlights
  • This is Bertelsmann’s 1st transaction in the Retail sector.
  • This is Bertelsmann’s 2nd transaction in the United States.
  • This is Bertelsmann’s 2nd transaction in New York.

M&A Deal Summary

Date 2005-07-05
Target Columbia House
Sector Retail
Buyer(s) Bertelsmann
Sellers(s) The Blackstone Group
Deal Type Add-on Acquisition
Advisor(s) Blackstone Advisory Partners (Financial)
Simpson Thacher & Bartlett (Legal)

Target

Columbia House

New York, New York, United States
Columbia House is a direct marketer of music, videos and DVD home entertainment products. Columbia House was formed in 1955 and is based in New York, New York.

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Buyer(S) 1

Buyer

Bertelsmann

Gutersloh, Germany

Category Company
Founded 1835
Sector Media
Employees132,842
Revenue 17.1B EUR (2015)
DESCRIPTION

Bertelsmann is a German multinational mass media corporation. Bertelsmann was founded in 1835 and is based in Gutersloh, Germany.


DEAL STATS #
Overall 3 of 12
Sector (Retail) 1 of 1
Type (Add-on Acquisition) 1 of 6
State (New York) 2 of 3
Country (United States) 2 of 5
Year (2005) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2004-03-03 Sony BMG Music Entertainment

New York, New York, United States

Sony BMG Music Entertainment was a joint venture between the Sony Corporation of America and Bertelsmann AG.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2013-04-02 BMG Rights Management

Berlin, Germany

BMG Rights Management is a start-up by years of existence, however considered a major international player in the music industry.

Buy -

Seller(S) 1

SELLER

The Blackstone Group

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1987
PE ASSETS 131.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

The Blackstone Group is a global alternative investment management firm. The Firm's investment activities span real estate, secondary investments, hedge funds, credit, infrastructure, and private equity. Blackstone's private equity group targets opportunities globally including buyout acquisitions of established companies, development projects, growth equity financings, and industry consolidations. Sectors of interest include automotive, healthcare, chemicals, industrial, commercial property, lodging, communications, media/publishing, consumer & retail, packaging, consumer products, pharmaceuticals, energy, technology, entertainment, telecommunications, financial services, theme parks, food & beverage, and transportation. Blackstone's private equity real estate group looks for opportunities across North/South America, Asia, Australia/New Zealand, and Europe. The real estate group will consider both equity and debt investments. Areas of interest include healthcare, hotel, industrial, office, residential, and retail. The Blackstone Group was formed in 1987 and is based in New York, New York.


DEAL STATS #
Overall 25 of 174
Sector (Retail) 1 of 4
Type (Add-on Acquisition) 8 of 67
State (New York) 1 of 12
Country (United States) 17 of 105
Year (2005) 5 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-06-01 Kabel Baden-Wurttemberg

Heidelberg, Germany

Kabel BW is the third largest German cable network operator with market leadership in the Baden-Wurttemberg region. Kabel BW was the first large scale operator to introduce digital cable television, broadband internet and telephony services (?triple play?) on one single platform and has since then continued to upgrade its network for triple-play. Today Kabel BW has more than 2.4 million subscribers, making it one of the largest cable operators in Germany and Europe.

Buy $116M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-08-11 SunGard Data Systems

Wayne, Pennsylvania, United States

SunGard Data Systems, Inc. is a provider of software and processing solutions for the financial services industry, higher education, and the public sector in over 70 countries. SunGard also offers disaster recovery, managed IT, and information availability consulting services along with business continuity management software.

Buy $11.4B