OTHER NEWS - April 30, 1996
Fidelity Ends Giant Bid: Fidelity National Financial Inc., apparently stymied in another hostile takeover effort, said it ended its bid for cash-rich Giant Group Ltd. The halt in the four-month public battle came after Beverly Hills-based Giant Group agreed to buy back at a premium the 14.9% stake that Fidelity had accumulated. The Irvine title insurer will also buy a small portion of a fast-food company in which Giant holds a 48% interest. Fidelity’s chairman, William P. Foley II, backed out after acknowledging that Giant’s chairman, former Hollywood producer Burt Sugarman, would exercise stock options to make it financially impossible to take over Giant. Last fall, Fidelity ended an 18-month effort to seize US Facilities Corp., a Costa Mesa insurer.
For the record:
12:00 a.m. May 1, 1996 For the Record
Los Angeles Times Wednesday May 1, 1996 Home Edition Business Part D Page 2 Financial Desk 2 inches; 46 words Type of Material: Correction
Fidelity National Financial--The Irvine-based title insurer expects a $700,000 gain in selling its 14.9% stake in Giant Group Ltd. back to the Beverly Hills-based company. But Giant Group did not agree to pay a premium--an amount over market value. The Times incorrectly reported the nature of the payment in Tuesday’s editions.
