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Glazer company to sell division

Zapata Corp., a Houston-based company whose largest stockholder is Malcolm Glazer, announced Friday it plans to sell its gas-compression division to Enterra Corp. in Houston for $130-million.

Zapata, which Glazer gained control of last August by buying about 33 percent of the stock, is converting from a natural gas to a food-packaging business.

Zapata paid $90.2-million for the gas-compression division in November 1993. Now, Zapata plans to sell that portion of the business. The cash transaction is expected to close by Aug. 31.

Also Friday, Glazer announced that he closed on the deal to buy the Tampa Bay Buccaneers for a reported $192-million, although with extension fees related to the delay in closing the cost is closer to $200-million. (Story, 1C)

But Zapata's chief financial officer, Lamar McIntyre, said the Zapata transaction had nothing to do with the Bucs' sale. "The sale (to Enterra) will be reflected in the price of the stock, but I don't think he (Glazer) is planning on selling any stock. At least he hasn't told me," said McIntyre.

Glazer, his sons and Buccaneer officials could not be reached for comment.

Zapata shares closed Friday at $3, up 37{ cents.

Zapata was founded by former President George Bush and former Pennzoil Inc. chairman Hugh Liedtke in 1953. Initially, it was involved in offshore drilling; later it operated a fleet of fishing boats. Then, before Glazer took the helm, it became a natural gas service company. Now it is moving toward food packaging.

Last month, Zapata announced plans to acquire 31 percent of Oak Brook, Ill., packing-maker Envirodyne Industries Inc. for about $16.5-million. Zapata agreed to purchase the shares at market value from Glazer, who is also a director of Envirodyne.

Zapata is evaluating the possibility of buying more Envirodyne shares, merging with or acquiring Envirodyne, according to a Bloomberg Business News interview with Malcolm Glazer's son Avram, who is Zapata's chief executive officer.

_ Information from Times files and Bloomberg Business News was used in this report.