Merisel Inc, the El Segundo, California-based computer hardware and software distributor which has been plagued with liquidity problems (CI No 3,233) seems to have got itself off the hook with a $134m shot in the arm from the private investment firm Stonington Partners Inc. The funds arrived just in time to prevent Merisel from being de-listed from Nasdaq for failing to meet the minimum $4.0m Net Assets Test required by the exchange. Merisel had been under orders from Nasdaq to make a public filing of compliance with the test by December 31 or lose its listing. In a late deal, Merisel’s shareholders voted on December 19 to accept the $134m of funds offered in exchange for giving away an equity stake in Merisel which will bring Stonington Partners holding up to 62%. The firm has used the money to repay its substantial debts, on which the interest and repayment schedule had threatened to bankrupt it. Merisel’s CEO, Dwight Steffensen, said that with the debt restructuring finally behind it, his company could now concentrate on growing the business.
