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The founder and largest shareholder of Pomeroy IT Solutions Inc. (NASD: PMRY) on April 4 offered to buy the company for $7.05 a share and take it private. David Pomeroy, who already owns almost 16.7% of the shares, teamed up with Charlesbank Equity Fund VI LP, a Boston private equity firm, to acquire the remaining shares.
In a letter to the board of directors, Pomeroy said he is deeply concerned about the financial performance of the company. "I believe the significant changes the company must make are fundamentally inconsistent with the short-term demands and scrutiny of being a public company," he wrote. "I am convinced that only as a private company will Pomeroy be able to act unimpeded to transform its operations."
The Hebron KY-based company said a special board committee is weighing Pomeroy's offer. "The special committee will consider Mr. Pomeroy's offer as well as explore a range of other alternative transactions that could enhance stockholder value," the company said.
The company posted a net loss of $112.2 million in its fiscal year ended Jan. 5, 2008. Last year, the company ousted former CEO and son of the founder Stephen Pomeroy after a shareholder, unhappy with the company's performance, threatened a proxy fight.