Sageview Capital is discussing with management, and may make suggestions concerning the beauty company's operations, prospects, business and financial strategies, assets and liabilities, and any other matters the firm deems relevant to its investment.

6.7

A public LBO.

1.47 15

Sally Beauty

Part of a spinoff

recent ipo spun off from Alberto/culver.. expected growth expansion due to nature of business, mainly personal beauty hair care products, salon and nail supplies, small exclusive design hair clips, brouch, clips etc. stores are 300 =including parts of latin america, europe and expanding into Asia

Upgraded by Oppenheimer from Sell to Neutral

New IPO, business model of selling beauty to woman, Franchise with great potential

"Ebitda [earnings before interest, taxes, depreciation and amortization] margins are in the range of 11% to 12%, and growing. Prior to the spinoff, the private-equity firm of Clayton Dubilier & Rice bought around 48% of Sally Beauty Holdings for about $6.75 a share. The opportunity to invest at close to CD&R's price is attractive, especially when we know that private-equity firms look to make two to three times their money in three to four years. The stock is now around 7.50."

He goes on to say that he likes the CEOs ambitious internatinal expansion plans.