The combination of Boardriders and Billabong will create the world’s leading action sports company with sales to over 7,000 wholesale customers in more than 110 countries

The combination of Boardriders and Billabong will create the world’s leading action sports company with sales to over 7,000 wholesale customers in more than 110 countries

Embattled Australian surfwear brand Billabong has applied for its shares to be suspended from trading on the Australian Securities Exchange (ASX) following court approval of its acquisition by Boardriders Inc.

On Friday (6 February), the Federal Court of Australia approved a scheme of arrangement between Billabong and its shareholders in a move which - if implemented – will see a subsidiary of Boardriders acquire all of Billabong's shares, other than those owned by its related entity, Oaktree Capital Management.

Billabong shareholders voted on the acquisition last month, with 85.78% in favour.

Billabong shareholders approve Boardriders takover

Prior to the vote, which took place on 28 March, Boardriders upped its offer from $1 per share to $1.05.

The combination of Boardriders and Billabong will create the world's leading action sports company with sales to over 7,000 wholesale customers in more than 110 countries, owned e-commerce capabilities in 35 countries, and over 630 retail stores in 28 countries. It will include some of the most coveted brands in the industry as Billabong, RVCA, Element, VonZipper, and Xcel are added to the Boardriders family of brands.

News of the acquisition first broke in December of last year, sending shares in Billabong soaring 22%.

Now, with the scheme legally effective, Billabong says shareholders who hold shares at the scheme record date - expected to be 7pm AEST on 16 April - will receive a cash payment of AUD1.05 per Billabong share on the implementation date, which is expected to be 24 April.