AUSTRALIA: Billabong extends talks with Sycamore Partners
Billabong has extended exclusive talks with Sycamore Partners and former Americas boss Paul Naude to consider the potential sale of the Australian surfwear brand.
The two companies will continue talks for a AUD0.60 per share offer after Sycamore requested an extension to complete a report on the company's earnings. Billabong emphasised that there is no guarantee that the that the transaction will proceed.
"It is anticipated that the extension will be adequate for the completion of the report and its consideration," Billabong said in a filing to the Australian Stock Exchange.
Initially, Sycamore Partners and a consortium led by US apparel group VF Corp made competing offers of AUD1.1 per share early this year. After due diligence, Sycamore dropped its bid to AUD$0.60 per share and continued in exclusive talks with the company.
Under the proposal, which values the company at AUD$287m (US$300m), Billabong founder Gordon Merchant and former employee Collette Paull must exchange their combined shareholding of about 16% stock in a vehicle being set up for the take over.
In February, Billabong posted an AUD536.6m (US$554.3m) first-half loss, as sales fell 8.1% to AUD702m, driven by 17.3% drop in Europe.
Last year the company named former Target managing director Launa Inman as CEO, who then outlined a four-year transformation strategy. The plans include simplifying the business, leveraging Billabong and other key brands, realising the strategic potential of retail, expanding e-commerce and integrating the supply chain.
Troubled Australian surfwear brand Billabong is attempting to move beyond recent turbulence and onto its turnaround plans, but uncertainty still remains....
The group of North American brands and retailers working to improve fire and building safety in Bangladesh's garment factories has publicly released details of more than 620 factories used to supply i...
Billabong's general manager for Europe, Franco Fogliato, has been named the latest executive to leave the Australian surfwear company, and is headed to outdoor apparel and footwear firm Columbia Sport...
In an unexpected move, surf-led apparel business Billabong has secured a long-term funding package from a rival consortium of two private equity businesses and named the former boss of Eddie Bauer as ...
US clothing company Delta Apparel has said Rod McGeachy will become president of the group's sports and military brand Soffe. ...
Struggling Australian surfwear company is facing calls for a board shakeup from one of its largest shareholders, in a move that could cloud a deal to finalise the company's long-term funding arrangeme...
- TPP: now the real fight starts
- Why TPP implementation is far from a done deal
- Private label sourcing faces range of pressures
- Cambodia leads US apparel import growth in August
- Common themes unite Inditex and H&M supply chains
- Update: Negotiators agree landmark TPP trade deal
- Cambodia sets new minimum wage at US$140
- Nike debuts new fabric for adaptive breathability
- Vietnam releases new textile dye regulations
- New Bangladesh labour rules draw union criticism
- Wearable technology: The future market potential for smart garments and e-textiles
- Global Database of the Top 1000 Apparel Producers - Company Names, Financial Performance, and Contact Details
- Myanmar's Garment Sector in 2015 - now with updated members' directory
- Outdoor performance apparel: peaks, valleys, and green fields
- Ethiopia – the emerging textile and clothing industry