Quiksilver, Inc. has executed the stock purchase agreement with the Boix-Vives family, which holds a majority interest in the Rossignol Group. While the deal, which is said to worth approximately $320 million in cash and stock, was initially announced in late March, formal execution of the agreement was held up pending a blessing by Rossignols workers' council, or “Company Central Committee”.
The purchase of the majority holding will be paid for with approximately 30% in ZQK shares and 70% in cash, a portion of which will be deferred. The Boix-Vives family will retain a portion of its direct ownership, an approximate 35% interest, in Cleveland Golf for at least 4.5 years.
The acquisition is still subject to French and other regulatory approval, but Quiksilver still expects to be successful in a public tender offer for the remaining shares not controlled by the Boix-Vives family, with the deal closing by the end of July. Quiksilver is offering $25.50 per share (19.00) for the minority shares.
