Monday’s (8/12) Guardian (London), Jennifer Rankin reports, “The final chords have not been played in the takeover of Steinway Musical Instruments. The 160-year-old maker of pianos, saxophones and trumpets agreed in June to be bought by the private equity firm Kohlberg & Co but announced on Monday it had received a better offer.… Steinway declined to identify the new suitor, describing it only as ‘an affiliate of an investment firm with more than $15bn under management.’ This anonymous offer has topped Kohlberg’s bid of $35 a share, which would value Steinway at $438m (£283m), raising the bar to $477m (£308m). Kohlberg, which said it wanted to accelerate Steinway’s global expansion, now has the option to improve its offer.… Detractors of the Kohlberg deal fear Steinway’s cherished craftmanship is at risk. Founder Jerome Kohlberg said in June the private equity firm would ‘accelerate global expansion, while ensuring the artisanal manufacturing processes that make the company’s products unique are preserved, celebrated and treasured.’ Steinway, which has not been a family business since it was bought by the TV company CBS in 1972, announced it was selling itself last year, following a strategic review.”
Posted August 13, 2013
