Mossimo, Inc.'s founder Mossimo Giannulli announced that he is proposing to acquire the outstanding publicly held shares of the company for $4.00 per share in cash. This represents a 20% premium to the closing price of the company's common stock on April 11, 2005.
Following today's announcement, Mr. Giannulli expects the board of directors of the company to form a special committee of independent directors to consider the proposal with the assistance of outside financial and legal advisors. Mr. Giannulli expects that the precise structure of the transaction, as well as the conditions to its consummation, will be determined through negotiations with the special committee. Mr. Giannulli also anticipates that any ensuing transaction will be consummated pursuant to the terms of an acquisition agreement mutually acceptable to Mr. Giannulli and such committee.
Mr. Giannulli owns approximately 65% of the outstanding shares of the company's common stock. He advised the company's board that he will not consider any other transaction involving his interest in the company.
Piper Jaffray & Co. is serving as Mr. Giannulli's financial advisors in the transaction and Latham & Watkins LLP is providing legal counsel.
The company's stockholders and other interested parties should read the company's relevant documents filed with the Securities and Exchange Commission when they become available because they will contain important information. The company's stockholders will be able to obtain such documents free of charge at the SEC's web site (www.sec.gov) or from the company at 2016 Broadway, Santa Monica, CA 90404.
