Wickes OKs Buyout by 2 N.Y. Groups for $517 Million

Wickes Cos., the Santa Monica furniture and auto products company that owns Builders Emporium, announced today that it has agreed to a $517-million buyout by two New York investment groups.

As part of the buyout by Blackstone Capital Partners and Wasserstein, Perella Partners, Sanford C. Sigoloff would be ousted as chairman and replaced by executives of the two investment groups who would be co-chairmen. Wickes released a statement from Sigoloff saying the deal would benefit shareholders, but there was no announcement on whether he would remain as chief executive officer.

The Wickes board unanimously approved the cash and stock deal just 12 days after a management group led by Sigoloff canceled its bid for the company.

Sigoloff became chairman and placed Wickes under Chapter 11 bankruptcy protection in April, 1982, and led the company out of bankruptcy in January, 1985.