Twenty-five years ago, Billabong basked in street cred. Today, as one fashion industry insider quipped, the brand has become the barbecue short for the sausage sizzle. If the 45-year-old dads are wearing boardies with elasticised or Velcro adjustable waists to accommodate a middle-aged muffin top, their 15-year-old sons are not in the market.
On Friday, the future ownership of this Australian iconic brand hung in the balance. Two American corporate sharks have been circling the bleeding Billabong carcass for a couple of months and intense talks are continuing over the weekend.
The decision by the Billabong board and its largest shareholder and founder, Gordon Merchant, to hang out the for sale sign, is the ultimate recognition the company has lost its way. Five years ago Billabong was a $5 billion company and its stock traded for $14. The prices being offered by these financial syndicates today are less than 70¢ a share - the financial equivalent of the bin out the front of the store housing the end-of-season/couldn't-sell stock that customers rifle through. At this price the whole company is worth closer to $300 million
Read more: http://www.smh.com.au/business/bill...o-a-wipeout-20130405-2hc9k.html#ixzz2Pea9q7mx
On Friday, the future ownership of this Australian iconic brand hung in the balance. Two American corporate sharks have been circling the bleeding Billabong carcass for a couple of months and intense talks are continuing over the weekend.
The decision by the Billabong board and its largest shareholder and founder, Gordon Merchant, to hang out the for sale sign, is the ultimate recognition the company has lost its way. Five years ago Billabong was a $5 billion company and its stock traded for $14. The prices being offered by these financial syndicates today are less than 70¢ a share - the financial equivalent of the bin out the front of the store housing the end-of-season/couldn't-sell stock that customers rifle through. At this price the whole company is worth closer to $300 million
Read more: http://www.smh.com.au/business/bill...o-a-wipeout-20130405-2hc9k.html#ixzz2Pea9q7mx
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