Boardriders, the parent of the Quiksilver surfwear brand, has "agreed to acquire" rival Billabong Int'l, "combining two of the largest active sports brands as the industry is undergoing a major shakeout," according to Suzanne Kapner of the WALL STREET JOURNAL. The combination would "create a global player with ubiquitous brands," about $2B in annual sales and 630 stores in 28 countries. But both Quiksilver and Billabong have "struggled in recent years with declining sales and corporate restructurings." Both companies expanded rapidly in the '90s by "selling board shorts, skateboarding T-shirts and, later, snow gear." But they have "struggled as the once hot surf, skate and activewear industry has cooled." Quiksilver "filed for bankruptcy protection" in '15, re-emerged in '16 and "changed its name to Boardriders a year later." It is "privately owned and majority controlled" by the investment firm Oaktree Capital Management, which also "owns a 19% stake in Billabong and is one of the company’s senior lenders." Boardriders CEO Pierre Agnes will "become president of the combined entity." Boardriders said that they are "discussing whether there is an appropriate role" for Billabong CEO Neil Fiske (WSJ.com, 1/4).
