Blog: Leonie BarrieA Just deal?

Leonie Barrie | 23 July 2008

Australian clothing retailer Just Group has issued a cool response to the higher takeover bid tabled today by hostile investor Solomon Lew.

It says the new deal – which offers AUD814m (US$777m) plus additional incentives if Lew’s Premier Investments achieves 90% control of the firm – does not improve the core offer and adds conditions that cast doubt on any additional payout.

But Premier is this time putting pressure on investors, and wants 50% of Just shares within the last week of the offer period. Otherwise it won’t extend its offer beyond 15 August, it says. This will, at least, put pressure on the Just board to think about it seriously.

One sticking point could be that Just shareholders don’t actually want shares in Premier. Up to now, just 1.1% have accepted the original bid in the two months since it was made.

Just Group has previously said the offer undervalues the company, and has again advised shareholders to take no action. But perhaps more significant is what it hasn’t done – and that is reject the deal.

AUSTRALIA: Premier makes final offer for Just Group


BLOG

just-style market research sale

Are you planning for the year ahead and beyond? Well this week we’re offering great deals on some of our market research......

BLOG

Gearing up for the holiday shopping season

The volume of US apparel imports saw an increase in October on the prior year as retailers geared up for the holiday shopping season. Bangladesh booked the second highest growth behind India, reversin...

BLOG

Innovations to boost sustainability

Hong Kong-based textile and apparel giant Esquel Group, the world's largest woven shirt maker, is pushing ahead with the pursuit of sustainable and holistic quality. ...

BLOG

Sign up to try new re:source apparel sourcing tool for free

The old saying "Good things come to those who wait" is certainly true for re:source, the new suite of data-driven sourcing tools being developed by the team here at just-style....

just-style homepage



Forgot your password?