PDA and smartphone makerPalmon Monday announced a recapitalization plan that will institute two former Apple executive on the fellowship ’s control board of directors and will infuse $ 325 million in funds into the company . In return , Palm ’s sell a 25 percent interest to Elevation .
Palm ’s new mate in this endeavor is Elevation Partners , a private equity firm led by Apple ’s former Chief Financial Officer , Fred Anderson , and Roger McNamee . U2 frontman Bono is also one of the firm ’s spouse . Both Anderson and McNamee will join Palm ’s board of directors following the end of the transaction , exchange former CEO Eric Benhamou and D. Scott Mercer , who will resign at that point .
Perhaps more significantly , however , Palm be after to appoint Jon Rubinstein , Apple ’s former elderly frailty president of ironware technology and head of its iPod section , as executive chairwoman of the control panel . decoration president and CEO Ed Colligan said that Rubinstein will head the fellowship ’s product development efforts going forward .
Rubinstein give Apple in 2006 . He ’s credited as implemental in create both the iPod and the iMac , and became head of Apple ’s iPod sectionalisation when it was spun off as a disjoined business unit in 2004 .
Anderson was Apple ’s executive frailty president and CFO from 1996 to 2004 . Recently Anderson criminate Steve Jobs of tell him to backdate lineage options granted to Jobs by Apple ; the U.S. Securities and Exchange Commission reached a settlement with Anderson and charge for Apple general advocate Nancy Heinen . Anderson yield $ 3.5 million in fines without let in wrongdoing . Anderson also sits on the dining table of eBay and Move .
Palm has had its part of challenges over the retiring several years as the ship’s company has tried to remold itself into a manufacturer of “ smartphone ” devices in the face of an attack of challengers such as BlackBerry maker Research In Motion , Windows Mobile licensees , and , at the ending of the month , Apple .
Last week Palm co - founder Jeff Hawkins introduced the Foleo , a new “ mobile companion ” — a lightweight laptop - eccentric machine that ferment in junction with smartphones like Palm ’s own Treo line , offering a full - sized keyboard , larger screen , build - in Wi - Fi and Bluetooth connectivity to the smartphone , while eschewing a operose drive of its own or other amenities that would raise the monetary value and increase sizing and weightiness . The production introduction has been tepidly receive , however : Many eminent - technical school pundits and analyst suggests the Foleo is a root in hunt of a problem .
Analysts have been suggesting for months that Palm was courting potential fiscal partners . Nokia , Motorola , and secret equity firms have all been quote as potential partners .
Elevation Partners plans to commit $ 325 million in Palm ; the company plans to use that along with live casting and $ 400 million in raw debt to finance a cash statistical distribution of $ 9 per contribution to survive Palm shareowner .
Palm gillyflower was trading at 17.55 , up 1.46 or 9.07 percent , ahead of the bell on Monday morn .
