Struggling United States Purchased By Private Equity Firm
Some big news for the US today. The small private equity firm prospect capital partners has officially closed the deal and purchasing the United States of America. Which as we've reported has been struggling financially in the last few months the private equity firm purchased all fifty states Washington DC five major territories and various minor islands in the acquisition for an undisclosed sum. But what does this mean for? Americans like you and me for more. I'm joined by. Opr financial correspondent. Marcy Hammond Good Morning. Marcy High Leslie. Can you tell us about the country's new owners and what we can expect from them? Prospect capital partners has investments in a broad array of industries. Their portfolio includes everything from discount. Furniture stores to niche lifestyle magazines even funeral home chains and designer dog breeding services. Oh yes. I've gotten several of my teacup Pomeranian from their property. Puppy lucks but why. The United States of America to their portfolio. Well since it was already swamped in twenty three dollars worth of debt. Experts say that. Pcp was able to pay pennies on the dollar for the nation which has been renamed the United Fifty Corporation. Here's what the new. Ceo of the country. Herbert Lindgren had to say about the acquisition. We see a lot of great potential in the country in its assets water real estate energy agriculture etc as the biggest player in our portfolio united fifty is in an ideal position to capitalize on this dynamic. And I'm really excited to expand its reach. There'll be some small changes and focusing country reorganization but for the most part. We're just going to let the brand continued to create great products while supporting it. Well that sounds promising. What small changes have been implemented so far several? Lindemann is made swift moves to eliminate many inefficiencies for instance congressional representatives per state or teams as they're now called Heaven pared-down according to stay. Gdp luster running the numbers. We just move as a necessary step. Texas by itself had thirty six house representatives and dozens upon dozens of mayors but streamline the corporate structure and now the half to supervisors and a nature representatives will be based out of United Fifties. La Office and it wasn't just Texas that had inefficiencies in fact the United Fifty C. Suite identified positions states all over the country. That were found to be redundant. People in such positions were immediately removed from the country and escorted into the ocean by security. Well I guess no one ever really needed to senators anyway but martial arts some of these government positions essential to functioning United States. I mean United Fifty yes and departments are scrambling to adjust. Fill the holes while some citizens are saying that quality is definitely gone down due to the chaos however Lindemann says these stumbling blocks are nothing more than growing pains for the country. Contrary to what you've heard local officials were not laid off offered transfers to existing openings and other cities that were contract-based without benefits. We don't plan to cut our way to growth but life is about constant change. The good news is already seeing signs that we're well on our way to hitting our Q. Revenue Goals. I WANNA thank those. We've sadly seemly for their service. United Fifty and the Management Team. Here promises that we will do everything. We can to make the transition into their next chapter as easy as possible juice. These are a lot of changes. Did they know it's a Friday? Pull this shit right before the weekend. That's unfortunate I wonder. What's the new leadership goal and all this? I was wondering that myself to figure that out. I spoke to John pfeiffer professor of economics at Harvard University and an expert on private equity firms who gave me some insight into United Fifties Possible Future. Private equity was to see quick return on investment to do that. You cut costs and exploit resources to shore up earnings then. The company either sells it at a profit or if it fails to be competitive in its newly diminished form. They squeeze it into bankruptcy. I THE INVESTORS. Keep THE CASH. No matter what though. Personally I wouldn't be surprised if they offloaded the entire underperforming Midwest division to be honest now when asked to comment on the possibility of that Lindemann denied any such sale was an option. The midwest a strong acid with many natural resources and agricultural and manufacturing properties and we definitely don't see ourselves letting go of such a commodity anytime soon but we're also happy to hear out any bids that may come our way in the near future but according to a source. I spoke with inside the company country. United Fifty might already be in talks to break up the Midwest and sell it Shari Marci. I'm going to have to stop you right there. We've just received a memo from up top saying that we should stick to reporting on. What does it say here Anything else okay. Great back with something completely different right after.