LodgeNet Emerges from Chapter 11 and Names Execs
Colony Capital LLC, a global real estate investment firm and one of the largest investors in hospitality assets, has announced that it has led a syndicate of investors in its acquisition of LodgeNet Interactive Corporation ("LodgeNet"). This investment is concurrent with LodgeNet's approximately $70 million recapitalization and a new $358 million long term credit facility. The investor group has been issued new common stock representing 100% ownership of LodgeNet. This completes the Company's emergence from Chapter 11.
Richard Nanula, Colony Principal and Chairman of Miramax, will serve as LodgeNet's Chairman. Mr. Nanula has previously served as Chief Financial Officer of The Walt Disney Company and Amgen and President and Chief Operating Officer of Starwood Hotels and Resorts.
LodgeNet also announced the appointment of hospitality, marketing and entertainment veteran Michael Ribero as President and Chief Executive Officer. Mr. Ribero previously served as Chief Marketing Officer at Hilton and Eastern Airlines and held executive positions at other technology-based advertising and marketing firms. He is currently on the board of the Tropicana Las Vegas Hotel and Casino.
Liner Grode Stein LLP, Sullivan & Cromwell and Guggenheim Securities LLC represented Colony in this transaction. Miller Buckfire & Co. LLC, a wholly-owned subsidiary of Stifel Financial Corp., FTI Consulting, Inc. and Moorgate Securities LLC served as financial advisors to LodgeNet; Wiel Gotshal & Manges LLP acted as restructuring legal counsel; and Leonard, Street and Deinard acted as corporate legal counsel to the Company. Akin Gump Strauss Hauer & Feld LLP and CDG Group, LLC acted as advisors to the agent for the term lenders.