Restructure deal costs Merisel a $40m pay-off

Merisel will pay $40 million to a group of shareholders in order to go ahead with its preferred restructuring deal with an investment company.

The distributor said it would fulfil its debt obligations to noteholders on 19 September, after failing to agree terms with the group, which favoured another plan and began legal action.

In its law suit, the group claimed Merisel had agreed a plan with shareholders before dropping the idea in favour of a deal with investment company Stonington Partners.

Merisel?s obligations involve paying off and terminating its agreements with the shareholder group and paying interest to them.

Negotiations between the two parties were originally scheduled to continue until 19 September, but the shareholders said they would not hold back their action or negotiate beyond that date.

The group, the Merisel Ad Hoc Noteholders? Committee, is set to gain a large interest in the distributor as a result of its plan to help it out of debt.

The shareholders could still contest Merisel?s payment decision in court, but the firm believes its payments will cover its responsibilities to them.