Finance - Billabong Agrees To Takeover
The iconic Aussie surfwear company Billabong says there will be no job cuts in the short-term after it agreed to a $380 Million takeover bid.
"There will be no immediate impact on jobs," a spokesman told the ABC, "Keep in mind, these are large global brands and any integration process will take a number of years."
US company Boardriders calls itself a 'a global action sports and lifestyle company' that markets goods in 110 countries. Now it wants to add Billabong to its portfolio, which already includes Quicksilver, Roxy, and DC Shoes.
Billabong has had a tough time, posting a full-year loss of $77.1 Million in August. That's more than triple the net loss from the previous year. Boardriders' offer does a lot to solve the companies problems: The US company will pay $1.00 for every ASX-listed share in Billabong, which is 28 percent higher than Billabong's share price the day before the offer was made. Billabong shares already owned by the finance company Oaktree, which owns Boardriders, are exempt.