April 4, 2009

Equity firm wins Poloroid auction for $59M

The private equity firm Patriarch Partners of New York appears to have won the auction for the beleaguered camera company Polaroid Corp.

The Star Tribune reported Saturday that the firm's $59.3 million bid for the instant-photo company still must be approved by a bankruptcy judge. A hearing has been set for Monday, the Minneapolis newspaper reported.

Patriarch's bid includes $43.2 million in cash and $7.8 million in stock in the new entity but excludes $8.3 million in various Polaroid assets, including Polaroid Japan.

Included in the deal, however, is Polaroid's vast art collection, which includes more than 600 original Ansel Adams photographs, 13 original Andy Warhol photographs and thousands of museum pieces.

Lynn Tilton, chief executive of Patriarch Partners, said the private equity firm will seek to rebuild the Polaroid brand. Mary Jeffries, Polaroid's chief executive officer, said in a statement that Patriarch Partners has the vision and the resources to act on the myriad of opportunities to leverage this iconic brand.