Troubled Australian company Pacific Dunlop declined to comment on reports that it is considering selling its Pacific Brands clothing division.

Pacific Brands manufactures popular Australian labels including Playtex and Bonds.

The Australian Financial Review reported that PacDun is contemplating an initial public offering, after a lukewarm response for trade buyers for the division. The unsourced report said PacDun would raise between $550m and $650m in a trade sale, well short of the more than $800m an internal report said an IPO would raise.

According to the newspaper, a PacDun information memorandum forecast the clothing division's 2002 earnings before interest and tax (EBIT) of $131m, lifting to $147m in 2003.


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