Palm and Elevation Partners have completed a deal which will help the smartphone and mobile-computing manufacturer move to the next phase of their business cycle and possible help fuel the company to compete against Research In Motion‘s Blackberry and Apple’s iPhone.  Elevation has invested $325 million in Palm, and the company will utilize these proceeds along with existing cash and $400 million of new debt to finance a $9 per share cash distribution.Jon Rubinstein, Former Senior Vice President of Hardware Engineering and Head of the iPod division at Apple, has joined Palm as Executive Chairman of the Board, and Fred Anderson and Roger McNamee, Managing Directors and Co-Founders of Elevation, have joined Palm’s Board of Directors. Rubinstein, Anderson, and McNamee replace Eric Benhamou and Bruce Dunlevie, who resigned from Palm’s Board of Directors. The total number of Directors on the Board has been increased from eight to nine in connection with the transaction.
Palm’s $325 million lift from Elevation Partners
Published: October 25, 2007Posted in: Deal Flow
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