Imaging services provider Alliance Imaging of Anaheim, CA, said that Oaktree Capital Management and MTS Health Investors have agreed to purchase approximately 24.5 million shares of its common stock from a fund managed by an affiliate of Kohlberg Kravis Roberts & Co. (KKR).
Upon completion of the $153.1 million transaction, Oaktree and MTS together will own approximately 49.7% of the outstanding shares of Alliance's common stock; KKR will own less than 3%. Alliance itself is not selling any shares in the deal.
In connection with the transaction, Oaktree and MTS have inked a governance and standstill agreement with Alliance. Oaktree and MTS are, among other things, prohibited for three years after closing of the deal from increasing their combined ownership beyond 49.9% of the outstanding shares without the prior consent of a majority of independent directors. Oaktree and MTS representatives will also assume three director positions previously held by directors affiliated with KKR.
By AuntMinnie.com staff writers
March 19, 2007
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