Bono Helps Bail Out Palm

Palm’s financial future looks a little more secure as private-equity firm Elevation Partners said it will pump US$325 million into the mobile device manufacturer. The recapitalisation plan will see Elevation take a 25 percent equity stake in Palm, buying a new series of convertible preferred stock. The conversion price will be $8.50 per share, a premium of around 16 percent compared with the implied post-distribution price over the last 10 trading days. Elevation is a $1.9 billion private-equity firm and one of its five partners is Bono, the lead singer of Irish rock band U2. The investment in Palm is by far the largest the firm has ever made