American Securities Nears $600 Million From Goldman for Payout

Goldman Sachs Group Inc.’s asset management division is nearing a $600 million preferred equity investment in American Securities’s damage recovery business, Belfor Holdings Inc., that will fund a dividend back to the private equity owner, according to people with knowledge of the matter.

Last year, American Securities evaluated options including selling a minority stake in the business or raising other forms of capital, said the people, who asked not to be identified because discussions are private. After receiving bids for equity stakes, some of which exceeded $800 million, the private equity firm opted to raise preferred equity ...