TPG Capital makes takeover offer for Billabong International
Billabong International has confirmed TPG Capital has launched a takeover bid against it.
TPG Capital may have used its negotiation specialists to launch a new takeover offer for Australian surfware firm Billabong International.
Billabong confirmed today (February 20th) it had received an indicative, non-binding proposal from TPG to purchase all of its shares though a scheme of arrangement, with each share valued at Aus$3 (£2.03).
It has chosen Allens Arthur Robinson as its legal advisor and Goldman Sachs to provide it with financial assistance.
Billabong's board of directors will now consider the offer and inform its shareholders of its opinions in the near future.
"The proposal is subject to due diligence, subject to finance and conditional on a number of other matters," the firm added.
The TPG Capital proposal does not prevent Billabong from going ahead with a previous initiative to sell parts of its Nixon brand, which was announced on February 17th.
Net profits of US$285 million (£179.67 million) are expected to be realised through the Nixon venture, which Billabong will use to pay off debts.
Posted by Edel Quinn
Source: Billabong press release, February 20th