BidFair USA’s $3.7 Billion Acquisition of Sotheby

LionTree Advisors served as financial advisor to Sotheby’s in connection with the transaction, and Sullivan & Cromwell LLP served as the company’s legal counsel. BNP Paribas and Morgan Stanley acted as financial advisors to BidFair, BNP Paribas acted as sole financing provider, and Hughes Hubbard & Reed LLP and Ropes & Gray International LLP served as its legal advisors.

BidFair USA, an entity wholly owned by media and telecom entrepreneur as well as art collector, Patrick Drahi, acquired Sotheby’s (NYSE: BID).

Sotheby’s auctions fine arts, antiques, and collectibles, offering property in a wide variety of collecting categories. The Company conducts auctions in the United States and other countries. Sotheby’s also purchases and resells art, brokers art, markets and brokers luxury residential real estate, provides art-related financing, and restores art.

Patrick Drahi is a global entrepreneur with telecommunications, media and digital properties across the globe.

Under the terms of the agreement, which was approved by Sotheby’s Board of Directors, shareholders, including employee shareholders, will receive $57.00 in cash per share of Sotheby’s common stock in a transaction with an enterprise value of $3.7 billion.

The offer price represents a premium of 61% to Sotheby’s closing price on June 14, 2019, and a 56.3% premium to the company’s 30 trading-day volume weighted average share price. The transaction would result in Sotheby’s returning to private ownership after 31 years as a public company traded on the New York Stock Exchange.

The Ropes & Gray team advised BidFair with a team led by finance partner Michael Kazakevich (Picture) and finance counsel Alexandru Mocanu, alongside derivatives & commodities partner Anna Lawry and, finance associates Shabdita Gupta and Clara Melly.

Involved fees earner: Michael Kazakevich – Ropes & Gray; Shabdita Gupta – Ropes & Gray; Anna Lawry – Ropes & Gray; Clara Melly – Ropes & Gray; Alexandru Mocanu – Ropes & Gray;

Law Firms: Ropes & Gray;

Clients: BidFair USA (Patrick Drahi);