Wood & Company Financial Services has regained the nearly 50% stake in its company previously held by Icelandic Investment bank Straumur Burdaras. As one of the leading investment banks in Eastern and Central Europe, Wood & Co. is owned by its management. On the strength of these partners, Wood $ Co. was able to buy out Straumur Burdaras which was taken over by Iceland’s financial regulator due to lack of liquidity.
The multi-faceted deal sells Straumur’s stake for € 10 million, pays Straumur 30% of Wood’s profit over the next two years, and terminates the option Wood partners had to put their shares into Straumur Burdaras. The option termination frees Straumur from a EURO 50 million contingent liability.
March 18, 2009
Rumors & Speculation