Toy talk.Children's product maker Small World Kids Inc. has run into trouble acquiring the Bead Shop, a Milwaukee-based company known for its Fashion Angel dolls. Small World, based in Culver City Culver City, city (1990 pop. 38,793), Los Angeles co., S Calif., a residential suburb of Los Angeles; inc. 1917. It is a center of the U.S. motion-picture industry, whose roots in the city date to c.1915. Its chief manufactures are rubber products and computers. and traded over the counter, had planned to buy Bead Shop for $15 million in cash and $5 million in restricted shares of Small World common stock, plus contingent earnouts. But Small World chief executive Debra Fine Debra Fine is an author and keynote speaker who began her career as an engineer, an occupation that allowed her to maintain her natural shyness and avoid situations that required social interactions. couldn't could·n't Contraction of could not. couldn't could not wrap up enough public capital market funding to get the purchase done at the end of last year. "The public capital markets were difficult in December December: see month. and January to raise $25 million," Fine said in a statement. "Neither of us has the door closed on a future relationship." But Small World is moving forward and has gained funding for future acquisitions. The company recently secured a $16.5 million revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility and a $2 million term loan from Laurus Master Fund Ltd., a private equity fund. In Small World's sights are profitable small to mid-market companies in the $10 million to $75 million revenue range. In Securities and Exchange Commission filings, the company speculates it will be able to purchase these companies at five to seven times earnings. |
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