Kathmandu Holdings Limited repelled a hostile takeover September 17 after the New Zealand retailer's shareholders tendered just 3.6 percent of their shares to a retail group that owns the Rebel Sports franchise in New Zealand.  

Briscoe Group, which reported impressive second quarter sales growth September 14 at its Sporting Goods segment, launched an unsolicited NZ$1.801 per share takeover bid for Kathmandu July 22 after accumulating 19.9 percent of the outdoor specialty retailer's shares. Briscoe's Sporting Goods segment operates 35 sporting goods stores in New Zealand, mostly under the Rebel Sports banner.

Kathmandu published an independent appraisal September 14 that valued its stock at between NZ$2.10 and NZ$2.41 per share, or NZ$0.30 to NZ$0.61 above the implied value of the offer. It has urged shareholders to reject the bid, arguing Kathmandu would be accretive to Briscoe earnings even above the NZ$2.41 price.

Briscoe had signaled it was walking away from the bid September 3 when it declined to raise its offer, which did not expire until September 17. Kathmandu operates 100 of its 150 stores in Australia, 45 in New Zealand and 4 in the United Kingdom.