Report: Borden Board Considers Sale
NEW YORK (AP) _ Directors of Borden Inc. are considering selling the company, according to a published report.
Borden’s new chairman Frank Tasco and outside director Robert Luciano favor the sale, The Wall Street Journal reported today, citing sources close to the board.
However, there is not a consensus about how to proceed. ″Like any company in this situation, there’s honest disagreement among a lot of people,″ an executive said to be familiar with the Borden discussions told the paper.
Borden, which has annual sales of $7.1 billion, earned just $200,000 in the third quarter, showing declines in nearly every line of business.
Former chairman and chief executive officer Anthony D’Amato, who was ousted earlier this month, had proposed selling Borden’s snack food division and retaining the chemicals, pasta and dairy operations. New CEO has Ervin Shames has not publicly stated what direction he favors for the company.
Borden’s market value is about $2.54 billion. Its stock closed at $18 Friday, up 12 1/2 cents, on the New York Stock Exchange.