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BAIN'S RESCUE IN CHINA


BAIN'S RESCUE IN CHINA



When a company's founder and biggest shareholder is reported to be awaiting trial for "economic crimes" and its stock has been suspended sus·pend  
v. sus·pend·ed, sus·pend·ing, sus·pends

v.tr.
1. To bar for a period from a privilege, office, or position, usually as a punishment: suspend a student from school.
 from trading for seven months, it probably needs a helping hand--and Chinese electronics retailer GOME n. 1. A man.
1. The black grease on the axle of a cart or wagon wheel; - called also gorm ltname>. See Gorm.
 just found one. Its Hong Kong-listed shares soared 70% on June 23 after an announcement that Bain Capital Bain Capital LLC is a Boston, Massachusetts-based private equity firm founded in 1984 by Mitt Romney, the former Governor of Massachusetts, and two other partners from the consulting firm Bain & Company: T. Coleman Andrews III and Eric Kriss.  will buy as much as 23.5% of the mainland outfit. GOME will raise at least $417 million by issuing convertible bonds to Bain, as well as through a new share offering that the U.S. private equity firm will underwrite To insure; to sell an issue of stocks and bonds or to guarantee the purchase of unsold stocks and bonds after a public issue.

The word underwrite has two meanings.
. But a cloud will hang over GOME until the fate of founder Huang Guangyu is cleared up.
Copyright 2009 BusinessWeek
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Article Details
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Author:Harry Maurer & Cristina Linblad
Publication:BusinessWeek
Date:Jul 2, 2009
Words:115
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