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Low-ball Dometic bids hit bank sales of seized companies

The two remaining bidders for Dometic have reduced their offers for the company, casting doubt on banks' ability to sell seized companies at a healthy profit

Banks' hopes of selling private equity portfolio companies they seized during the crisis have been knocked by the news that bids for Swedish fridge maker Dometic, which was seized by its lenders in 2009, have come in lower than expected.

After taking control of Dometic from European buyout firm BC Partners in a debt-for-equity swap in September 2009, the Swedish fridge maker's stakeholders - which include Japanese bank Mizuho and Nordic bank Nordea - are being squeezed on pricing as they attempt to sell the company.

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