Jockey Club Announces Record Profit Pirtek Stadium Renovation On Hold NRL Rules Out Ban On Lifting Tackles Survey: Man City Tops Global Salaries AFL To Trial Jerseys Featuring Names Perth Stadium Contract Awarded SCG, Sporting Innovations Partner IPL Players To Earn Up To $1.5M Kering Considers Buying Sports Brands Championship Clubs Make Progress On FFP
Enter amount in full numerical value, without currency symbol or commas (ex: 3000000).
Upcoming Conferences and Events
SBD Global/January 16, 2013/Finance
Takeover By VF Corp. Could Result In Billabong Break-Up
Published January 16, 2013
VF BID HAS LEGS: In Sydney, Colin Kruger reported analysts said that the VF/Altamont bid "has a lot of credibility." Deutsche Bank analyst Michael Simotas said, "We have long thought the Billabong brands would be a sensible fit for VF Corp. given its attraction to global brands, which are not broken but have potential to improve and its other investments in the action sports space (Vans and Reef)." The company's shares rose as much as 14.2% after emerging from a trading halt late Tuesday morning. They were recently up 12.4% at A$0.95. JP Morgan retail analyst Shaun Cousins said, "We think this is a positive development for BBG, now with two credible private equity and industry bidders" (SYDNEY MORNING HERALD, 1/15). In N.Y., Gavin Lower wrote on the WALL STREET JOURNAL's Deal Journal Australia blog VF Corp. is "no stranger to bidding for brands that appear to have lost their way, or face more intensive competition." Its $2.3B bid for Timberland in '11 came at a time when the boot maker was "grappling with rising costs of raw materials, labor and transportation costs." Parallels can be "easily drawn between the pressure facing Timberland then and Billabong now" (WSJ, 1/15).