Jarden Corp. raised approximately $687.7 million in a public offering of 15 million shares of common stock last week, but said it could raise its take by nearly $100 million if underwriters exercise options over the next 30 days.
JAH said it granted 30-day options to underwriters to purchase up to an additional 2.25 million shares that could raise net proceeds from the stock sale to $781.4 million. Barclays Capital Inc. acted as lead book-running manager, and Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and SunTrust Robinson Humphrey, Inc. acted as joint book-running managers for the offering.
JAH intends to use net proceeds from the sale to pay a portion of the purchase price, fees and expenses related to its proposed $1.75 billion acquisition of Yankee Candle Investments LLC. JAH plans to fold the company into its Branded Consumables segment, but if the deal falls through, JAH said it will use the proceeds for general coporate purposes. That could include acquiring businesses for its other two segments, including Jarden’s Outdoor Solutions (JOS), which owns owns Coleman, K2, Rawlings and more than a dozen other sporting goods brands.
With $2.7 billion in 2012 sales, JOS is the JAH’s largest segment and claims to be the world’s largest supplier of sporting goods. It also claims to have the leading market position in baseball gloves and balls, fishing, skis and bindings, tents, sleeping bags, inflatable beds and lanterns. Its last significant acquisition came in late 2010, when it acquired Aerobed for $70 million and folded it into The Coleman Company.
