Paul E Tierney

Under pressure from its largest shareholder, Allegis Corp. said Friday that it will buy back two-thirds of its shares for $80 each as part of its massive corporate restructuring. The buyback, worth an average of $50 for each outstanding share, wards off a threatened proxy fight from Coniston Partners, which owns 14% of Allegis, the parent of United Airlines. On Wednesday, Coniston said it would try to oust the company's board if Allegis' new chairman, Stephen M.

Coniston Partners, one of the most visible and successful corporate raiders of the 1980s, said Friday that it would dismantle its $800-million investment fund. The three Coniston partners--Keith Gollust, Paul Tierney and Augustus Oliver--plan to maintain investments in TW Services Inc. and UAL Corp. and distribute remaining cash to investors over the next few weeks, Tierney said. "What we'll be doing is liquidating the cash position," Tierney said in an interview.

Coniston Partners, one of the most visible and successful corporate raiders of the 1980s, said Friday that it would dismantle its $800-million investment fund. The three Coniston partners--Keith Gollust, Paul Tierney and Augustus Oliver--plan to maintain investments in TW Services Inc. and UAL Corp. and distribute remaining cash to investors over the next few weeks, Tierney said. "What we'll be doing is liquidating the cash position," Tierney said in an interview.

Under pressure from its largest shareholder, Allegis Corp. said Friday that it will buy back two-thirds of its shares for $80 each as part of its massive corporate restructuring. The buyback, worth an average of $50 for each outstanding share, wards off a threatened proxy fight from Coniston Partners, which owns 14% of Allegis, the parent of United Airlines. On Wednesday, Coniston said it would try to oust the company's board if Allegis' new chairman, Stephen M.

A group led by LA Partners L.P. of New York, has reduced its stake in UAL Corp., the Chicago-based parent of United Airlines, from 5.51% to 4%, or 849,435 common shares. The group, which also includes LA International Ltd., sold a total of 310,300 UAL shares between March 31 and April 14 for from $117.25 to $120 each, according to a filing with the Securities and Exchange Commission. Several principals in LA Partners, including Paul E. Tierney Jr., are also involved with Coniston Partners, the group bidding to acquire TW Services.

Jitters in the junk bond market have forced the investment group that agreed to buy TW Services, which owns Denny's coffee shops, to reduce the amount of these high-yield, high-risk bonds involved in financing the deal. New York-based Coniston Partners postponed the sale of $1.1 billion worth of junk bonds to be issued as a part of its takeover of TW, which also owns the Hardee's and El Pollo Loco fast food chains and a 42% interest in Winchell's Donut Houses.

Allegis Corp.'s largest stockholder says the company's new management wants to renege on a promised $3-billion payout to shareholders, but some experts said Wednesday that they believe that Allegis will fulfill its pledge. Coniston Partners, a New York investment firm with a 14% stake in the Chicago-based parent of United Airlines, threatened in a letter to Allegis' board to renew a proxy battle for control of the company if the directors reduce the size of the previously announced payout.

Coniston Partners, which launched a tender offer to acquire food service giant TW Services Inc., said Friday that it would sell off the company's small health-services operations if the deal is successful. The operation, which employs about 4,100 people, reported revenue of $100 million last year. It is a very small part of TW's overall operations, which include the Denny's and Hardee's restaurant chains.

The embattled parent of United Airlines on Thursday made peace with its largest shareholder, effectively ending a 15-month takeover siege. UAL Corp. said two principals from shareholder Coniston Partners will join its board. In return, New York money manager Coniston will not sell shares "in any major block" and will not buy shares "to any material extent" for 2 1/2 years. The surprise agreement prevents Coniston, which owns 11.

The chairman of Storer Communications predicted Tuesday that shareholders would end up reelecting a majority of the current board of directors and keep control of the embattled company out of the hands of dissident stockholders. But Augustus K. Oliver, general partner for New York-based Coniston Partners, which wants Storer sold and liquidated, said, "There's no question we'll get significant representation."

In a move that angered some of its shareholders, Storer Communications on Tuesday accepted an amended merger offer from the investment banking firm of Kohlberg, Kravis, Roberts that appears lower than a bid from Comcast, a Pennsylvania cable-TV operator. At the same time, Storer granted KKR an option to buy some of its "crown jewel" cable or television station properties and a block of stock in a move apparently designed to thwart new offers for the Miami-based company. Paul E. Tierney Jr.

Storer Communications, retaining control of the company, seated a newly elected board of directors Wednesday after failing to convince a federal judge that shareholders' votes were miscalculated. Storer claimed it should have received six, instead of five, seats on the nine-member board and obtained a temporary injunction last Friday from an Ohio state court. That blocked the votes from being certified by Storer's own inspector of elections, C. T. Corp. of Wilmington, Del.