Polaroid Enters Into 'Stalking Horse' Agreement

Polaroid Enters Into 'Stalking Horse' Agreement

MINNETONKA, Minn., Jan. 28 /PRNewswire/ -- Polaroid Holding Company today announced that it has entered into a "stalking horse" Asset Purchase Agreement with PHC Acquisitions, LLC, an affiliate of Genii Capital, S.A., a Luxembourg based private equity firm. Under the terms of the agreement, PHC Acquisitions would acquire certain of the company's assets including, but not limited to, all of Polaroid's intellectual property rights and the "Polaroid" name and brand.

Genii Capital is a shareholder in Zink Imaging Inc., inventor and manufacturer of ZINK Paper(TM) and the Zero Ink(TM) Printing Technology. The technology is used in the Polaroid PoGo(TM) Instant Mobile Printer and the recently introduced Polaroid PoGo(TM) Instant Digital Camera.

Mary L. Jeffries, Polaroid's chief executive officer, said entering into the Asset Purchase Agreement marks progress in Polaroid's financial restructuring and provides a key milestone on the path out of bankruptcy protection. "Genii Capital's interest in Polaroid affirms the viability of the company and the brand. Polaroid is going to emerge a sustainable business where people are employed and vendors and customers will have an opportunity to continue to do business with Polaroid."

Consummation of the transactions contemplated by the Asset Purchase Agreement is subject to higher or otherwise better offers, approval of the Bankruptcy Court and customary closing conditions.

As part of the Asset Purchase Agreement, Polaroid Holding Company is filing motions for orders granting authority to sell certain assets to PHC Acquisitions, establishing bidding procedures, designating PHC Acquisitions as the stalking horse bidder and setting a hearing date on the sale of the assets. Upon the Bankruptcy Court's approval of bidding procedures, Polaroid Holding Company intends to engage in a bidding process with all interested parties. The Asset Purchase Agreement and bidding procedures specify terms with which any competing bids must comply to be considered qualified for the bidding process.

About Polaroid

With over 70 years of visual innovation that includes the invention of instant photography, Polaroid has established itself as a trusted consumer electronics company. In addition to its flagship line of Polaroid PoGo(TM) digital instant products, Polaroid is globally recognized as a leading brand for LCD TVs, digital cameras, digital photo frames, and more.

About Genii Capital

Genii Capital(TM) is a private investment firm that focuses on value creation by investing in innovative ideas, brands and projects. Based in Luxembourg, Genii Capital's portfolio includes cutting-edge companies in sectors such as telecommunication, security, hosting services, alternative energies and consumer electronics.

Source: Polaroid Holding Company

CONTACT: Lorrie Parent of Polaroid Holding Company, +1-952-936-5466,
PARENTL@polaroid.com

-------
Profile: intent