Golden Gates to sell stake in Zale

Golden Gate Capital is looking to sell either part of all of its stake in Zale Corporation, reports say. The stakes are to the tune of 25 percent. Also, Golden Gates controls warrants that cover some 11.1 million Zale shares, reports say.

In 2010, Golden Gates had issued a $150 million loan to Zale, which has been revised in 2012, reports suggest.

Also, the sale is unlikely to affct the loan, although the sale could have an effect on the structure of Zale’s board, as at present there are two Golden Gates’ members on Zale’s board. The Zale board members serve one-year terms, reports suggest.