Quiksilver, Inc. today announced that it has completed a transaction with Rhône to exchange $140 million of the outstanding principal amount of Quiksilver’s senior secured term loans for an aggregate of approximately 31.1 million shares of its common stock at an exchange price of $4.50 per share.
Stockholders voted overwhelmingly in favor of the exchange in a special meeting conducted August 6, 2010, with more than 96% of the votes cast in favor of the exchange proposal.
Robert B. McKnight, Jr., Chairman of the Board, Chief Executive Officer and President of Quiksilver, Inc., commented, “We’re delighted to complete this debt for equity exchange as another important step toward further de-leveraging our balance sheet. The transaction provides us with additional operating and financial flexibility. We especially want to thank Rhône for the tremendous vote of confidence in making this investment and for their ongoing belief in our company. Since extending the original term loans to us a year ago, Rhône has become a major presence in our board room and they have added significant value to our business.”
