View source for MacAndrews & Forbes

{{short description|American holding company}}
{{Use mdy dates|date=February 2014}}
{{Infobox company
 | name             = MacAndrews & Forbes Incorporated
 | logo             = Macandrews-forbes-logo.png
| logo_size     = 150
 | type             = [[Privately held company|Private]]
 | genre            = Holding
 | foundation       = {{start date and age|1850}}
 | founders         = Edward MacAndrews<br>William Forbes
 | location_city    = New York City, New York
 | location_country = United States
 | location         = 
 | locations        = 
 | area_served      = 
 | key_people       = [[Ronald Perelman]]<br>{{small|(Chairman and CEO)}}<br>Barry Schwartz<br>{{small|(Vice Chairman)}}
 | industry         = Diversified holding
 | products         = Cosmetics, vehicles
 | services         = Cosmetics and Entertainment to Biotech and Military<ref>{{cite web|url=http://www.macandrewsandforbes.com/|title=MacAndrews & Forbes}}</ref>
 | market cap       =
 | revenue          = 
 | operating_income = 
 | net_income       = 
 | assets           = 
 | equity           = 
 | owner            = Ronald Perelman
 | num_employees    = 
 | parent           = 
 | divisions        = 
 | subsid           = {{ubl
  | MacAndrews & Forbes
  | [[Allied Security]] Incorporated
  | [[M&F Worldwide|M&F Worldwide (MFW)]]
  | [[Revlon|Revlon Group, Inc.]]
  | [[Scientific Games Corporation]]
  | [[SIGA Technologies]] Inc
  | TransTech Pharma
}}
 | homepage         = {{url|https://www.macandrewsandforbes.com/|macandrewsandforbes.com}} 
 | footnotes        = 
 | intl             = 
}}
'''MacAndrews & Forbes Incorporated''' is an American [[Conglomerate (company)|diversified holding company]] wholly owned by billionaire [[investor]] [[Ronald Perelman]].<ref name="insider">{{cite news |last1=Perino |first1=Marissa |title=The 25 richest people in New York, ranked |url=https://www.businessinsider.com/richest-people-in-new-york-ranked-2019-4#9-ronald-perelman-17 |agency=[[Business Insider]] |date=April 15, 2019}}</ref> 
Current investments include leading participants across a wide range of industries, from cosmetics and entertainment to biotechnology and military equipment. The principal interests of MacAndrews & Forbes include [[AM General]],<ref name="Reuters">{{cite news |last1=Stempel |first1=Jonathan |title=Humvee maker sues Activision over 'Call of Duty' |url=https://www.reuters.com/article/us-activision-amgeneral/humvee-maker-sues-activision-over-call-of-duty-idUSKBN1D828F |work=[[Reuters]] |date=November 8, 2017}}</ref> Harland Clarke,<ref name="bj">{{cite news |last1=Ducey |first1=Karen |title=Harland Clarke holding company gets new CEO |url=https://www.bizjournals.com/sanantonio/news/2018/12/19/harland-clarke-holding-company-gets-new-ceo.html |agency=[[American City Business Journals]] |newspaper=San Antonio Business Journal}}</ref> [[Merisant]], [[RetailMeNot]],<ref>{{cite news |last1=Wistrom |first1=Brent |title=The Top Austin Tech and Startup Hires of January 2019 |url=https://www.americaninno.com/austin/inno-news/the-top-austin-tech-and-startup-hires-of-january-2019/ |agency=Austin Inno |publisher=American City Business Journals |date=February 5, 2019}}</ref> [[Revlon]], [[Scantron Corporation|Scantron]], [[Scientific Games Corporation]], [[SIGA Technologies]], [[Valassis]] and vTv Therapeutics.<ref>{{cite web |last1=Messenger |first1=Kelly |title=Head to Head Comparison: vTv Therapeutics (VTVT) & Moleculin Biotech (MBRX) |url=https://rocklandregister.com/2019/05/19/head-to-head-analysis-vtv-therapeutics-vtvt-versus-moleculin-biotech-mbrx.html |access-date=May 19, 2019}}</ref>

==History==
===Group===
MacAndrews & Forbes & Co. was founded in 1850 by Edward MacAndrews and William Forbes, a distributor of licorice extract and chocolate.<ref name="RichardHackPage13">{{cite book| title=When Money Is King| last=Hack| first=Richard| year=1996| pages=[https://archive.org/details/whenmoneyiskingh00hack/page/13 13]| publisher=Dove Books| location=Beverly Hills, CA| isbn=0-7871-1033-7| url=https://archive.org/details/whenmoneyiskingh00hack/page/13}}</ref>

In 1978, Perelman purchased a 40% stake in Cohen-Hatfield Jewelers,<ref name="RichardHackPages10-12">{{cite book| title=When Money Is King| last=Hack| first=Richard| year=1996| pages=[https://archive.org/details/whenmoneyiskingh00hack/page/10 10–12]| publisher=Dove Books| location=Beverly Hills, CA| isbn=0-7871-1033-7| url=https://archive.org/details/whenmoneyiskingh00hack/page/10}}</ref> and in 1980, Perelman, through Cohen-Hatfield Jewelers, bought MacAndrews & Forbes & Co.  Through the purchase, Cohen-Hatfield Jewelers was merged into what became MacAndrews & Forbes Group Inc.<ref  name="fu">{{cite web |url=http://www.fundinguniverse.com/company-histories/MacAndrews-amp;-Forbes-Holdings-Inc-Company-History.html |title=MacAndrews & Forbes Holdings Inc.  |access-date=May 16, 2008 |work=Funding Universe }}</ref>

===Holdings===
In 1983, Perelman formed MacAndrews & Forbes Holdings, Inc. Perelman started selling bonds to acquire the remaining 66% stake in MacAndrews & Forbes Group Inc. to take MacAndrews & Forbes Group Inc. private.

Also in 1983, MacAndrews acquired [[Technicolor|Technicolor Inc.]]<ref>{{cite news|title=British Concern Agrees to Buy Technicolor Inc. : Carlton to Pay About $780 Million for the Movie-Film Processor|url=https://www.latimes.com/archives/la-xpm-1988-09-10-fi-1543-story.html|author=Al Delugach|newspaper=[[Los Angeles Times]]|date=September 10, 1988|access-date=November 20, 2017}}</ref> Despite the bond debt, in 1984, MacAndrews & Forbes purchased Consolidated Cigar Holdings Ltd. from [[Gulf+Western|Gulf & Western Industries]], in addition to Video Corporation of America.<ref name="fu"/> The [[Technicolor|Technicolor Inc.]] divisions were sold off and, in 1988, its core business was sold to [[Carlton Communications]] for 6.5 times the purchase price.  Using the proceeds from the Technicolor division sell off, MacAndrews & Forbes purchased a 20 percent stake in Compact Video Inc., a television and film syndication company.  Ronald Perelman's controlling buyout of [[Compact Video]] was in 1986.

In 1989, Perelman acquired New World Entertainment, with David Charnay's [[Four Star International|Four Star Television]] becoming a unit of [[Ronald Perelman]]'s [[Compact Video]], later that year. 
Ownership of Compact Video Inc. was increased to 40% in 1989 after the buyout of [[Four Star Television|Four Star International]].<ref>{{Cite news|url=https://www.latimes.com/archives/la-xpm-1987-12-22-fi-30461-story.html|title=Reasons Emerge for the Liquidation of Compact Video|last=CROUCH|first=GREGORY|date=1987-12-22|newspaper=Los Angeles Times|access-date=2016-10-04}}</ref><ref name="Ron Perelman's Sale of Four Star">{{cite news |url=https://www.latimes.com/archives/la-xpm-1996-07-18-fi-25297-story.html|title=Perelman's Not Out of the Game Just Yet|newspaper=[[Los Angeles Times]]|date=July 18, 1996 |access-date=November 15, 2017}}</ref><ref name="fundinguniverse">{{cite web|title=MacAndrews & Forbes Holdings Inc.|url=http://www.fundinguniverse.com/company-histories/MacAndrews-amp;-Forbes-Holdings-Inc-Company-History.html|website=Funding Universe|access-date=May 16, 2008}}</ref> It was purchased through a [[golden parachute]] deal that was negotiated with [[Four Star Television|David Charnay's Acquisition]] and [[Ronald Perelman]] after Charnay was notified of stock purchases made by Perelman in 1989. In 1989, Perelman also acquired [[New World Pictures|New World Entertainment]] with Four Star becoming a division of New World as part of the transaction.
After [[Compact Video|Compact]] shut down, its remaining assets, including [[Four Star International]], were folded into MacAndrews & Forbes.<ref>{{Cite news|url=http://www.thedp.com/article/1995/01/perelman_man_behind_the_paln |title=Perelman: Man behind the plan|last=Fineman|first=Josh|date=1995-01-26|newspaper=[[The Daily Pennsylvanian]]|access-date=2017-11-20}}</ref>
By the end of 1989, MacAndrews refinanced the holding companies' [[High-yield debt|junk bonds]] for standard bank loans. The bulk of [[New World Pictures|New World's]] film and home video holdings were sold in January 1990 to Trans-Atlantic Pictures, a newly formed production company founded by a consortium of former New World executives.<ref>{{cite news|title=New World Deal|url=https://www.latimes.com/archives/la-xpm-1990-01-04-fi-411-story.html|newspaper=Los Angeles Times|date=January 4, 1990|access-date=May 27, 2014}}</ref>

===Revlon Group===
MacAndrews next purchased [[Pantry Pride]] Inc., in June 1985.  Its three retail supermarket chains were sold off within months.<ref name="fu"/>

In 1985, Perelman also took on his biggest deal yet: The [[Revlon|Revlon Corporation]]. Financed with over $700 million in [[High-yield debt|junk bonds]] from [[Michael Milken|Michael Milken's]] firm, [[Drexel Burnham Lambert]], Pantry Pride Inc. offered to buy any or all of Revlon's 38.2 million outstanding shares for $47.5 per share when its street price stood at $45 per share.  Initially rejected, Perelman repeatedly raised his offer until it reached $53 per share, while fighting Revlon's management every step of the way.  [[Forstmann Little & Company]] swooped in and offered $56 per share.  A brief public bidding war ensued, and Perelman triumphed with an offer of $58 per share.  As a result, Perelman paid $1.8 billion to Revlon's shareholders, but he also paid $900 million in other costs associated with the purchase.<ref name="2.7Billion">{{cite news |first=Richard |last=Stevenson |title=Pantry Pride Control of Revlon Board Seen Near |newspaper=The New York Times|page=D5 |date=1985-11-05 |url=https://www.nytimes.com/1985/11/05/business/pantry-pride-control-of-revlon-board-seen-near.html |access-date=February 25, 2014}}</ref>

After the acquisition, Perelman had Revlon sell four of its divisions:  Two were sold for $1 billion, the Vision Care division was sold for $574 million, and, in 1988, the National Health Laboratories division became a publicly owned corporation.  Additional makeup lines were purchased for Revlon: [[Max Factor]] in 1987 and Betrix in 1989 (they were later sold to [[Procter & Gamble]], in 1991).<ref name="fu"/> Despite Perelman's regular cleansing of upper management<ref name="PossibleBuyout">{{cite news |first=Ann |last=Hagedom |title=Possible Revlon Buyout May Be Sign Of a Bigger Perelman Move in Works |newspaper=Wall Street Journal |page=1 |date=1987-03-09<!--|accessdate=May 16, 2007-->}}</ref> and injecting millions of dollars into the company,<ref name="PerilsPerelman">{{cite journal | author=Atlas, Riva| title=The Perils of Perelman| journal=Institutional Investor| year=2000| volume=34| issue=3| page=54}}</ref> Revlon was unable to turn a profit for several years.  As of the first quarter of 2007, it had had one profitable quarter in the previous 32.<ref name="RevlonProfits">{{Cite web|url=http://findarticles.com/p/articles/mi_m0EIN/is_2005_March_8/ai_n11853855 |title=Revlon Reports First Profitable Quarter in Six Years; Fourth Quarter and Full Year 2004 Results in Line with Expectations |access-date=February 7, 2007 |publisher=Business Wire |year=2005 |author=Gale Group |url-status=dead |archive-url=https://web.archive.org/web/20170809160827/http://findarticles.com/p/articles/mi_m0EIN/is_2005_March_8/ai_n11853855 |archive-date=August 9, 2017 }}</ref>

By 2012, Revlon was rebounding, and its net income had grown to $51.5 million.<ref>{{cite web|url=http://in.reuters.com/article/2013/02/05/ny-revlon-idUSnBw9jd9bMa+102+BSW20130205|archive-url=https://web.archive.org/web/20140413131656/http://in.reuters.com/article/2013/02/05/ny-revlon-idUSnBw9jd9bMa+102+BSW20130205|url-status=dead|archive-date=April 13, 2014|title=Reuters: Revlon Reports 2012 Results|access-date=September 18, 2017}}</ref>  As of April 2014, Revlon was trading at $25.45 per share, rising from a low of $1.20 per share in 2007.<ref name="GoogFin">{{Cite web|url=http://finance.google.com/finance?q=REV |title=Google Finance – Revlon, Inc |access-date=February 7, 2007 |year=2007 |url-status=dead |archive-url=https://web.archive.org/web/20061029235553/http://finance.google.com/finance?q=REV |archive-date=October 29, 2006 }}</ref>  A major cause of Revlon's financial problems was the debt load stemming from Perelman's purchase of the company.<ref name="RevDebt">{{Cite web|url=https://www.usatoday.com/money/companies/earnings/2005-03-08-revlon-usat_x.htm |title=Revlon profit first in more than 6 years |access-date=March 20, 2007 |publisher=Bloomberg Publishing |year=2005 |author=Cotten Timberlake and Shobhana Chandra |url-status=dead |archive-url=https://web.archive.org/web/20060218172601/http://www.usatoday.com/money/companies/earnings/2005-03-08-revlon-usat_x.htm |archive-date=February 18, 2006 }}</ref>

===[[Global Gillette|Gillette]], [[Four Star International|Four Star]], and the [[Private equity in the 1980s|late eighties]]===
In 1986, [[Ronald Perelman]] made several attempts on behalf of MacAndrews & Forbes to take-over [[Global Gillette|Gillette Company]], offering $4.12 billion, and eventually $5.7 billion.   In October 1987, Perelman withdrew the last offer.  In 1988, Consolidated Cigar was sold.  Attempted take overs were targeted at [[Hellmann's and Best Foods|CPC International]].  
Ronald Perelman's controlling buyout of [[Compact Video]] was in 1986.  [[Four Star International]] was purchased through a [[golden parachute]] deal that was negotiated with [[Four Star Television|David Charnay's Acquisition]] and [[Ronald Perelman]] after Charnay was notified of stock purchases made by Perelman in 1989.  After [[Compact Video|Compact]] shut down, its remaining assets, including [[Four Star International]], were folded into MacAndrews & Forbes. By the end of 1989, MacAndrews refinanced the Holding companies' [[High-yield debt|junk bonds]] for standard bank loans.<ref name="fu"/>

===Savings and loans===
{{main|Savings and Loan crisis}}
Perelman first entered what became known as the [[savings and loan crisis|Savings & Loan crisis]] in 1988 when along with [[Gerald J. Ford]] he bought five insolvent [[Savings and loan association|thrifts]] with $12.2 billion in assets and $5.1 billion in federal aid for $315 million.<ref name="BoughtFive">{{cite news |first=Thomas |last=Hayes |title=Talking Deals; A Veil of Secrecy In Texas Rescues |newspaper=New York Times |page=D2 |date=1988-12-29}}</ref>  The five banks originally operated as a single entity named [[Gibraltar Savings Association|First Texas Bank]], but the name changed to First Gibraltar after about a week.<ref name="FirstFirstGibraltar">{{cite news |first=Kirk |last=Ladendorf |title=A bank by any other name . . . must be in Austin // Confusion, lawsuits greet the changes made of necessity |newspaper=Austin American Statesman |page=12 |date=1989-04-03}}</ref> Perelman's turn-around manifested as trimming the payroll, selling branches, and dumping of $2.5 billion of underperforming assets. In 1990, Perelman added San Antonio Savings Association and Sooner Federal to First Gibraltar for $10.1 million and $5.1 million, respectively. The purchase of San Antonio added $1.1 billion of healthy assets, $1.2 billion unhealthy assets, and a $1.3 billion government cash advance to Perelman's larder while Sooner only provided $1.2 billion in assets along with the typical government guarantees.<ref name="SoonerFederal">{{cite news |first=Hal |last=Lancaster |title=Perelman Sells Oklahoma Unit Of Texas Thrift --- Big S&L Purchased in 1988 Amid Much Controversy May Be Sold Piecemeal |newspaper=Wall Street Journal |page=A4 |date=1992-08-11}}</ref><ref name="SanAntonio">{{cite news |first=Thomas |last=Hayes |title=Perelman Group Wins Bidding for San Antonio Savings |newspaper=New York Times |page=A32 |date=1990-03-10}}</ref>  Sooner Federal was not only the last S&L Perelman bought, but the first he sold; In August 1992, he sold the pieces of Sooner to Bank of Oklahoma and [[Fourth Financial Corporation]] for $31.4 million.<ref name="SoonerFederal"/>  The following month he sold the rest of First Gibraltar to [[Bank of America|BankAmerica]] for $110 million, retaining four branches in [[Plano, Texas]] and $1.2 billion of assets in the mortgage and property management sectors.<ref name="BankofAmerica">{{cite news |first=Ralph T |last=King |title=BankAmerica, in Texas Push, to Buy Branches of Perelman's First Gibraltar |newspaper=Wall Street Journal |page=A3 |date=1992-09-22}}</ref>  He renamed the four branches First Madison.<ref name="FirstMadison">{{cite news |first=John |last=Racine |title=Texas Dealmaker Is Plotting His Next Move |publisher=American Banker |page=10 |date=1993-11-08}}</ref>  It's unclear how much money Perelman made from his savings & loan deals, but it's estimated that he made anywhere from $600 million to $1.2 billion with most of the profits manifesting as tax breaks elsewhere in his empire.<ref name="FirstNationWideClean"/> In essence, by owning First Gibraltar he was able to avoid paying hundreds of millions in federal taxes.<ref name="AllanSloanSoup">{{cite news |first=Allan |last=Sloan |title=Perelman bucketed S&L 'soup' |newspaper=Denver Post |page=C1 |date=1992-09-26}}</ref>

Perelman jumped back into the savings & loan game in a big way in 1994 by buying First Nationwide from the [[Ford Motor Company]] for $664 million.<ref name="He'sBaaack">{{cite news |first=Allan |last=Sloan |title=Perelman replay in S&Ls may not pay off as well |newspaper=Denver Post |date=1994-11-24}}</ref>  Ford held onto $1.8 billion of First Nationwide's assets valued at $444 million, two-thirds of which were considered troubled assets,<ref name="He'sBaaack"/> offered to buy back up to $500 million of First Nationwide's other $7.9 billion of assets that went bad in the future, and gave Perelman $50 million to cover potential severance payments.<ref name="FirstNationWideClean">{{cite news |first=Greg |last=Steinmetz |title=Perelman Wins Bidding for Ford's Struggling Thrift --- First Nationwide Is Fairly Clean, as Seller Keeps Big Chunk of Bad Loans |newspaper=Wall Street Journal |page=B4 |date=1994-04-15}}</ref>  Perelman quickly boosted its portfolio, adding $10 billion worth of mortgages in exchange for a $175 million payment to [[Resolution Trust Corporation]].<ref name="25Billion">{{cite magazine |first=James |last=Ketelsen |title=Mr. Fixit |magazine=Forbes |page=66 |date=1995-05-22}}</ref>  Before 1995 ended, Perelman added two more thrifts to his collective: SFFed's $4.1 billion of assets for $250 million<ref name="SFFed">{{cite news |title=First Nationwide Bank to acquire SFFed in $250 million pact |newspaper=Wall Street Journal |page=C14 |date=1995-08-29}}</ref> and Home Federal Financial's $735 million of assets and $662 million of deposits for $70.6 million.<ref name="Examiner">{{cite news |first=Tom |last=Cahill |title=1st Nationwide will buy Home Federal $70.6 million purchase is part of statewide expansion |newspaper=San Francisco Examiner |page=B3 |date=1995-12-20}}</ref>  Just as quickly as he added assets, branches, and deposits in California, he dumped what he had elsewhere in the country. In 1995 alone he sold off 79 branches with $4.3 billion in deposits spread out across five states.<ref name="DumpingElsewhere">{{cite news |first=Kenneth |last=Cline |title=1st Nationwide Agrees To Buy Calif. Thrift For $70.6M in Cash Series |publisher=American Banker |page=6 |date=1995-12-26}}</ref> 1996 went a little slower, but not eventfully. He acquired [[California Federal Bank|California Federal Bancorp]] for $1.2 billion, creating the 4th largest thrift in the country with $32.3 billion in assets.<ref name="CalFed">{{cite news |first=Barton |last=Crockett |title=1st Nationwide Buying Cal Fed for $1.2B Cash Deal Second in Week Between West Coast Thrifts |publisher=American Banker |page=1 |date=1996-07-30}}</ref> In 1997, another $3.3 billion in mortgages were added courtesy of WMC Mortgage but it was an otherwise quiet year for First Nationwide.<ref name="WMC">{{cite news |first=Paul |last=Lamonica |title=Weyerheuser Unit's Buyer Sells Off Most Servicing To Focus on Subprime |publisher=American Banker |page=14 |date=1997-06-27}}</ref> In 1998, Perelman negotiated a stock swap with Golden State Bancorp to create the third largest thrift in the country with $50 billion of assets. The deal left Golden State's shareholders the majority, but Perelman's camp still controlled the company.<ref name="GoldenStateControl">{{cite news |first=Snigdha |last=Prakash |title=Despite Deal's Complexities, CalFed Really Is the Buyer |publisher=American Banker |date=1998-02-12}}</ref> Everything remained quiet until May 2002 when [[Citigroup]] announced plans to buy Golden State for $5.8 billion, but ultimately reduced the offer to $4.9 billion due to a stock drop.<ref name="4.9BillDrop">{{cite news |first=George |last=Stein |title=California; Golden State Shareholders OK Takeover; Mergers: Nearly 90% approve the purchase by Citigroup despite a stock drop that cuts the value of the deal to $4.9 billion from $5.8 billion |newspaper=Los Angeles Times |page=C2 |date=2002-08-23}}</ref> Citigroup's final offer was 0.821 shares of Citigroup common stock and $7.47 cash for every share of Golden State exchanged, which converted Perelman's 43 million shares of Golden State into $321,210,000 in cash plus 36,124,000 shares of Citigroup. All things considered, Perelman expected to make about $2 billion off the deal, but because he had quasi-sold many of his shares in the past, he probably gained substantially less than that.<ref name="BarronsLiquidity">{{cite news |first=Jonathan R |last=Laing |title=Ron's triumph? |newspaper=Barron's |page=15 |date=2002-03-27}}</ref>

===Andrews Group===
Andrews Group, Inc. was formed from the corporate shell of the former Compact Video. Andrews Group purchased [[Marvel Entertainment Group|Marvel Entertainment Group, Inc.]] in 1989 and later its former parent company [[New World Pictures|New World Entertainment, Inc.]]

In 1989, Andrews Group lost $14.8 million with a negative net worth of $10 million. At this time, MacAndrews & Forbes owned 57%.

In 1991, Marvel Entertainment Group, Inc. went public with 30% sold to the public.

Andrews Group bought:

* [[Fleer]] – September 1992
* [[Marvel Toys|Toy Biz, Inc.]] – 46% Stake – 1993
* [[SCI Television]] – 54% Stake – 1993
* [[Genesis Entertainment]] – 50% Stake – Part of [[New World Pictures|New World Entertainment]].<ref name="fu"/>
In May 1994, New World bought four more stations from the [[Taft Broadcasting|Great American Communications]] for $360 million and four more from [[Hearst Television|Argyle Television Holdings]] for $717 million. The purchase of Genesis and New World set up one of the spokes for the major [[1994 United States broadcast TV realignment|1994 television industry realignment]] in the wake of [[Fox Broadcasting Company|Fox]]'s acquisition of [[Fox NFL|NFL rights]].<ref name="RichardHackPage140-150">{{cite book| title=When Money Is King| last=Hack| first=Richard| year=1996| pages=[https://archive.org/details/whenmoneyiskingh00hack/page/140 140–150]| publisher=Dove Books| location=Beverly Hills, CA| isbn=0-7871-1033-7| url=https://archive.org/details/whenmoneyiskingh00hack/page/140}}</ref> [[Rupert Murdoch]] bought complete control of New World Communications for $3 billion, giving Perelman a large profit from the sale.<ref name="MurdochMillions">{{cite news |first=Allan |last=Sloan |title=Murdoch, Perelman Do the Cha-Cha |newspaper=Newsday |publisher=[[Times Mirror Company]]|page=A90 |date=May 29, 1994}}</ref><ref name="MurdochBillions">{{cite news |title=Murdoch Deal Makes Fox Biggest TV Station Owner |agency=[[Bloomberg L.P.|Bloomberg Business News]] |newspaper=Newsday  |publisher=[[Times Mirror Company]]|page=B53 |date=July 18, 1996}}</ref>

===Meridian Sports Holdings===
Also in 1989, MacAndrews & Forbes acquired The [[Coleman Company]], Inc., maker of stoves, lanterns, and camping and other recreational equipment, for $545 million. Perelman reduced the debt for this purchase by selling the heating and air-conditioning divisions. By the end of 1990 he had sold everything except Coleman's camping equipment and boat businesses, plus added power tool and recreational vehicle businesses. Between 1993 and late 1995 he bought seven more companies for Coleman.<ref name="fu"/>
In December 1997, Perelman and [[Al Dunlap]] met in order to discuss a possible deal between Coleman and [[Sunbeam Products]]. Coleman's famous but narrow brand held less growth potential than originally thought and Ronald Perelman wanted out. Coincidentally, Al Dunlap was sitting on a financially insolvent company he wanted to dump.<ref name="Testosterone265-269,295-297">All citations of Testosterone Inc are from the paperback edition with a cigar on the cover. The original cover was a picture of Mount Rushmore with the subjects of the book([[Albert J. Dunlap]], [[Dennis Kozlowski]], Ronald Perelman, and [[Jack Welch]]) photoshopped in place of the Presidents with a woman lying across the top of the mountain. Jack Welch sued, claiming the woman was an image of his wife Suzy Wetlaufer and it was being used without permission. {{cite book | title=Testosterone Inc. Tales of CEOs Gone Wild| last=Byron| first=Christoper M.| year=2004| pages= 265–269, 295–297| publisher=John Wiley & Sons, Inc| location=Hoboken, New Jersey| isbn=0-471-42005-0}}</ref>  It took until March 2 for them to finally come to an agreement: Perelman sold his entire stake (82%) in Coleman to Al Dunlap in exchange for $1.5 billion in cash and $680 million of Sunbeam stock.<ref name="LessonsLearned">{{Cite web|url=http://www.insidecounsel.com/issues/insidecounsel/15_170/features/268-1.html |title=DiscoveryDishonesty |access-date=January 29, 2007 |publisher=Inside Counsel |year=2006 |author=Fred, Sheryl |url-status=dead |archive-url=https://web.archive.org/web/20070507021326/http://www.insidecounsel.com/issues/insidecounsel/15_170/features/268-1.html |archive-date=May 7, 2007 }}</ref>  They completed the deal on March 30, despite a sell-off triggering press release from March 19 that said Sunbeam would not meet sales expectations. On April 3, another press release took Sunbeam's stock from bad to worse: It would not only fall short of sales expectations for that quarter, but it would barely meet the sales expectations of two years ago. The stock went into a tail spin, falling from $54 a share to $24 a share in a matter of weeks and continued its downward spiral in the following weeks. Perelman bought control of Sunbeam in an effort to salvage the situation but it was for naught. The company had to file for bankruptcy within three years.<ref name="Testosterone295-301">{{cite book | title=Testosterone Inc. Tales of CEOs Gone Wild| last=Byron| first=Christoper M.| year=2004| pages=295–301, 295–297| publisher=John Wiley & Sons, Inc| location=Hoboken, New Jersey| isbn=0-471-42005-0}}</ref>

===Morgan Stanley===
On February 17, 2005, Perelman filed a lawsuit against [[Morgan Stanley]].<ref name="ColeCourt">{{Cite web|url=http://www.courttv.com/trials/perelman/docs/morganstanley.html |title=Court TV Online – Coleman vs. Morgan Stanley |access-date=March 20, 2007 |publisher=Court TV |year=2005 |url-status=dead |archive-url=https://web.archive.org/web/20060316212734/http://www.courttv.com/trials/perelman/docs/morganstanley.html |archive-date=March 16, 2006 }}</ref> Two facts were at issue: Did Morgan Stanley know about the problems with Sunbeam and was Ronald Perelman misled?  During the discovery phase, the judge became exasperated with what she perceived as deliberate stonewalling on the part of Morgan Stanley and ordered the jury to assume Morgan Stanley deliberately and knowingly defrauded Perelman.<ref name="MorganBotch">{{cite news|url=http://www.post-gazette.com/pg/05136/505304.stm |title=How Morgan Stanley botched a big case by fumbling emails |access-date=March 20, 2007 |newspaper=The Wall Street Journal |year=2005 |author=Craig, Susanne |url-status=dead |archive-url=https://web.archive.org/web/20070513130849/http://www.post-gazette.com/pg/05136/505304.stm |archive-date=May 13, 2007 }}</ref> Hobbled, Morgan Stanley had no choice but to argue that Perelman was too savvy an investor to have fallen for their transparent tricks.<ref name="RonOnTheStand">{{Cite web|url=http://www.courttv.com/trials/perelman/041905_ctv.html |title=On the stand, billionaire Perelman accuses Morgan Stanley of fraud |access-date=March 20, 2007 |publisher=Court TV |year=2005 |author=Rosser, Bo |url-status=dead |archive-url=https://web.archive.org/web/20060316210638/http://www.courttv.com/trials/perelman/041905_ctv.html |archive-date=March 16, 2006 }}</ref> After a five-week trial, the jury deliberated for two days, found in favor of Perelman, and awarded him $1.45 billion.<ref name="JuryAwards">{{Cite web|url=http://www.courttv.com/trials/perelman/051805_ctv.html |title=Jury awards Perelman $850 million in damages from Morgan Stanley |access-date=March 20, 2007 |publisher=Court TV |year=2005 |author=Susan Rosser, Bo |url-status=dead |archive-url=https://web.archive.org/web/20061101212346/http://www.courttv.com/trials/perelman/051805_ctv.html |archive-date=November 1, 2006 }}</ref> The damages stung particularly because Morgan Stanley passed up Perelman's offer to settle the case for $20 million.<ref name="PhilPurcell'sPeopleProblem">{{cite magazine|url=http://nymag.com/nymetro/news/bizfinance/columns/bottomline/12072/ |title=Morgan Stanley CEO Phil Prucell's People Problem |access-date=March 20, 2007 |magazine=New York Magazine |author=Cramer, James J. |url-status=dead |archive-url=https://web.archive.org/web/20070621104030/http://nymag.com/nymetro/news/bizfinance/columns/bottomline/12072/ |archive-date=June 21, 2007 }}</ref>  Morgan Stanley maintained that the court case was improperly decided, citing the judge's decision to use Florida law over New York law and her decision to order the jury to consider Morgan Stanley guilty before the trial began.<ref name="RecordIsClear">{{Cite web|url=http://www.law.com/jsp/article.jsp?id=1134468312170 |title=Law.com – Morgan Stanley: 'Record Is Clear' That Florida Judge Erred |access-date=March 20, 2007 |publisher=Daily Business Review |year=2005 |author=Jones, Carl |url-status=dead |archive-url=https://web.archive.org/web/20070623023100/http://www.law.com/jsp/article.jsp?id=1134468312170 |archive-date=June 23, 2007 }}</ref>  In 2007, the courts of appeal reversed the judgement. The judges' declared Perelman hadn't provided any evidence showing he'd suffered any actual damage as a result of Morgan Stanley's actions. Perelman appealed,<ref name="MorganReverse">{{Cite web|url=http://www.abcnews.go.com/Business/wireStory?id=2970910 |title=ABC News: Morgan Stanley-Perelman Judgment Flipped |access-date=March 23, 2007 |publisher=ABC News |year=2007 |author=Bruno, Joe Bel |url-status=dead |archive-url=https://web.archive.org/web/20070328174334/http://www.abcnews.go.com/Business/wireStory?id=2970910 |archive-date=March 28, 2007 }}</ref> but found himself shot down by the [[Florida Supreme Court]] who dismissed it in a 5–0 decision.<ref name="MorganFinal">{{Cite web |url=https://www.bloomberg.com/apps/news?pid=20601103&sid=av6W163FdQXw&refer=us |title=Perelman Loses Appeal of Morgan Stanley Jury Award |publisher=Bloomberg |year=2007 |first1=Jef |last1=Feeley |last2=Harper |first2=Christine |url-status=dead |archive-url=https://archive.today/20140225163223/http://www.bloomberg.com/apps/news?pid=20601103&sid=av6W163FdQXw&refer=us |archive-date=February 25, 2014 |access-date=February 25, 2014 }}</ref> Undeterred even after that setback, Perelman went back to the trial court and asked for the case to be reopened because the hiding of email evidence was "a classic example of fraud on the court".  The trial court rejected his arguments, but as of January 2009, he is beseeching Florida's 4th Circuit to reopen the case.<ref name="MorganSemiFinal">{{Cite web|url=https://www.bloomberg.com/apps/news?pid=20601103&sid=aVgtKkh3Itc0&refer=us |title=Perelman Seeks to Reopen Case Against Morgan Stanley | access-date=January 8, 2009 |publisher=Bloomberg |year=2009 |first1=Jef |last1=Feeley |first2=Phil |last2=Milford}}</ref>

===SPAC===
In 2007, Perelman filed the paperwork for a [[Special-purpose acquisition company|SPAC]] (Special Purpose Acquisition Company) called MAFS Acquisition through his holding company MacAndrews & Forbes Holdings.  A SPAC is a company founded solely for the purpose of buying out another company, but without any preselected target company.  In Perelman's case, the company was selling 50 million units for $10 each.  The IPO was being underwritten by [[Citigroup]],<ref name="SPACIPO">{{Cite web|url=https://www.sec.gov/Archives/edgar/data/1419574/000095013607008277/file1.htm|title=#28 Ronald Perelman|access-date=December 6, 2007 |publisher=SEC|year=2007}}</ref> but on December 12, 2008, a year after filing for an IPO, MAFS opted to withdraw their application for the "protection of investors".<ref name="peHUB">{{Cite web|url=http://www.pehub.com/26281/mafs-acquisition-corp-cancels-ipo/|title=MAFS Acquisition Corp. cancels IPO|access-date=December 15, 2008 |publisher=peHUB|year=2008}}</ref>

==Subsidiaries==
===Current===
As of 2019, MacAndrews & Forbes held interests in the following companies:

*Faneuil, Inc.
*[[M&F Worldwide]] (MFW)
Harland Clarke Holdings Corp.
*[[Harland Clarke]] Corp.  – formerly Clarke American Corp.
Checks in the Mail
*Harland Financial Solutions
*[[Valassis|Valassis Communications]]
[[Clipper Magazine]]
Total Loyalty Solutions<ref>{{cite web|url=http://www.valassis.com/clipper-magazine-printed-deals.aspx|title=Careers|website=www.valassis.com|access-date=September 18, 2017|archive-url=https://web.archive.org/web/20160623214120/http://www.valassis.com/clipper-magazine-printed-deals.aspx|archive-date=June 23, 2016|url-status=dead}}</ref>
*[[Scantron Corporation]]<ref>{{cite web|url=http://www.harlandclarke.com/media/press/current/u5|title=HC Insight Archive - Harland Clarke|website=www.harlandclarke.com|access-date=September 18, 2017}}</ref>
Flavors Holdings
Flavors Holdings
*Mafco (descendant of the original MacAndrews & Forbes licorice business)
*[[Merisant]]
*Revlon Group, Inc.
[[Revlon]], Inc.
*[[Scientific Games Corporation]]
*[[SIGA Technologies]] Inc
*TransTech Pharma<ref>{{cite web|url=http://www.macandrewsandforbes.com/family_of_companies/|title=MacAndrews & Forbes Holdings Inc.|date=January 12, 2007|access-date=September 18, 2017|url-status=bot: unknown|archive-url=https://web.archive.org/web/20070128004434/http://www.macandrewsandforbes.com/family_of_companies/|archive-date=January 28, 2007|df=mdy-all}}</ref>

===Former===
*[[AlliedBarton]]
[[AM General]]
*Andrews Group, Inc. (formerly Compact Video Inc.)
[[Marvel Entertainment|Marvel Entertainment Group, Inc.]]
[[Fleer]]
[[SkyBox International|SkyBox]]
[[ToyBiz]]
[[New World Communications]] Group
*[[New World Pictures|New World Entertainment]]
*[[SCI Television]]
*Genesis Entertainment
*[[Guthy-Renker|Guthy-Renker Corporation]]
*First Gibraltar Bank
*[[Golden State Bancorp]]
*Consolidated Cigar Holdings Inc.
*[[Deluxe Entertainment Services Group Inc.]]
*[[Technicolor]], Inc.
*Meridian Sports Holdings
[[Coleman Company]], Inc.
[[Boston Whaler]] Inc.
[[MasterCraft]]
Skeeter Boats
O'Brien International Water Sports Equip
Soniform, Inc. Scuba Diving Equipment Mfg.
*Mafco Holdings, Inc.
Consolidated Cigar Holdings Inc. (2nd Time)
*Mafco Consolidated Group
Abex
* [[RetailMeNot]]

==See also==
* ''[[Revlon, Inc. v. MacAndrews & Forbes Holdings, Inc.]]''
* [[Top 100 US Federal Contractors]]

==References==
{{reflist|33em}}

==External links==
* {{official website}}

{{MacAndrews & Forbes}}

{{authority control}}

{{DEFAULTSORT:MacAndrews and Forbes}}
[[Category:Holding companies established in 1984]]
[[Category:Privately held companies based in New York City]]
[[Category:American companies established in 1984]]
[[Category:1984 establishments in New York (state)]]