type private industry diversified holding genre holding founded 1984 ; 32 years ago 1984 founder ronald perelman headquarters new york city new york united states key people ronald perelman chair & ceo barry f. schwartz executive vice chair & cao paul g. savas evp & cfo products cosmetics vehicles services cosmetics and entertainment to biotech and military 1 owner ronald perelman subsidiaries macandrews & forbes allied security incorporated am general deluxe entertainment services group inc. m & f worldwide mfw panavision revlon group inc. scientific games corporation siga technologies inc transtech pharma website www.macandrewsandforbes.com macandrews & forbes incorporated is an american diversified holding company wholly owned by billionaire investor ronald perelman . current investments include leading participants across a wide range of industries from cosmetics and entertainment to biotechnology and military equipment . contents 1 history 1.1 group 1.2 holdings 1.3 revlon group 1.4 gillette four star and the actions of the late eighties 1.5 savings and loans 1.6 andrews group 1.7 meridian sports holdings 1.8 morgan stanley 1.9 spac 2 subsidiaries 2.1 current 2.2 former 3 see also 4 references 5 external links history edit group edit macandrews & forbes & co. was founded in 1850 by edward macandrews and william forbes a distributor of licorice extract and chocolate . 2 in 1978 perelman purchased a 40 % stake in cohen hatfield jewelers 3 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. 4 holdings edit in 1983 perelman formed macandrews & forbes holdings inc. to take macandrews & forbes group inc. private . perelman started selling bonds to acquire the remaining 66 % stake in macandrews & forbes group inc. also in 1983 macandrews acquired technicolor inc. the 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 . ownership of compact video inc. was increased to 40 % in 1987 after the buyout of four star international . despite the bond debt in 1984 macandrews & forbes purchased consolidated cigar holdings ltd. from gulf & western industries in addition to video corporation of america . 4 revlon group edit macandrews next purchased pantry pride inc. in june 1985 . its three retail supermarket chains were sold off within months . 4 in 1985 perelman also took on his biggest deal yet the revlon corporation . financed with over 700 million in junk bonds from 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 . 5 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 . 4 despite perelman s regular cleansing of upper management 6 and injecting millions of dollars into the company 7 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 . 8 by 2012 revlon was rebounding and its net income had grown to 51.5 million . 9 as of april 2014 revlon was trading at 25.45 per share rising from a low of 1.20 per share in 2007 . 10 a major cause of revlon s financial problems was the debt load stemming from perelman s purchase of the company . 11 gillette four star and the actions of the late eighties edit in 1986 ronald perelman made several attempts on behalf of macandrews & forbes to take over 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 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 david charnay and ron perelman after charnay was notified of stock purchases made by perelman . after 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 junk bonds for standard bank loans . 4 savings and loans edit main article savings and loan crisis perelman first entered what became known as the savings & loan crisis in 1988 when along with gerald j. ford he bought five insolvent thrifts with 12.2 billion in assets and 5.1 billion in federal aid for 315 million . 12 the five banks originally operated as a single entity named first texas bank but the name changed to first gibraltar after about a week . 13 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 . 14 15 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 . 14 the following month he sold the rest of first gibraltar to bankamerica for 110 million retaining four branches in plano texas and 1.2 billion of assets in the mortgage and property management sectors . 16 he renamed the four branches first madison . 17 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 . 18 in essence by owning first gibraltar he was able to avoid paying hundreds of millions in federal taxes . 19 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 . 20 ford held onto 1.8 billion of first nationwide s assets valued at 444 million two thirds of which were considered troubled assets 20 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 . 18 perelman quickly boosted its portfolio adding 10 billion worth of mortgages in exchange for a 175 million payment to resolution trust corporation . 21 before 1995 ended perelman added two more thrifts to his collective sffed s 4.1 billion of assets for 250 million 22 and home federal financial s 735 million of assets and 662 million of deposits for 70.6 million . 23 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 . 24 1996 went a little slower but not eventfully . he acquired california federal bancorp for 1.2 billion creating the 4th largest thrift in the country with 32.3 billion in assets . 25 in 1997 another 3.3 billion in mortgages were added courtesy of wmc mortgage but it was an otherwise quiet year for first nationwide . 26 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 . 27 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 . 28 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 . 29 andrews group edit andrews group inc. is formed from the corporate shell of the former compact video . andrews group purchases marvel entertainment group inc. in 1989 and later its former parent company 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. goes public with 30 % sold to the public . andrews group goes on a buying spree picking up fleer september 1992 toy biz inc. 46 % stake 1993 sci television 54 % stake 1993 genesis entertainment 50 % stake part of new world entertainment . 4 in 1994 perelman bought four more stations from the great american communications company for 360 million and four more from argyle television holdings for 716 million . the purchase of genesis and new world set up one of the spokes for the major 1994 television industry realignment in the wake of fox s acquisition of nfl rights . 30 rupert murdoch bought complete control of new world communications for 3 billion giving perelman a large profit from the sale . 31 32 meridian sports holdings edit 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 . 4 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 . 33 it took until march 2 for them to finally come to an agreement with some convincing from his banker morgan stanley 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 . 34 they completed the deal on march 30 despite a sell off triggering press release from march 19 that