Sportswear firm receives 'going private' offer

19 Sep '11

2 min read

Bernard Chaus, Inc announced that it received an offer from Camuto Consulting, Inc for a “going private” transaction. Pursuant to the offer, the shareholders of Chaus, other than the members of the Chaus family, China Ting Group and Camuto, would receive cash consideration of $0.13 for each of their shares. The proposed transaction would be structured as a cash merger requiring the approval of not less than two-thirds of Chaus' shareholders. Following the transaction, Camuto would own 41% of the company.

The proposal is subject to a number of conditions including, among other things, the negotiation and execution of definitive agreements, the approval of the transaction by Chaus' Board and shareholders, the receipt of a fairness opinion, the approval of the transaction by the Boards of Camuto and CTG, the conversion of certain amounts owed by Chaus into a term loan and the entry by Chaus into a new financing agreement with its lender on terms satisfactory to all parties.

Chaus has referred the offer to its independent directors for consideration by them with the assistance of independent counsel and a financial advisor selected by them.

Bernard Chaus, Inc. designs, arranges for the manufacture of and markets an extensive range of women's career and casual sportswear principally under the VINCE CAMUTO, JOSEPHINE CHAUS, JOSEPHINE, JOSEPHINE STUDIO, CHAUS, CHAUS SPORT, CYNTHIA STEFFE, SEAMLINE CYNTHIA STEFFE and CYNTHIA CYNTHIA STEFFE trademarks and under private label brand names. The Company's products are sold nationwide through department store chains, specialty retailers, discount stores, wholesale clubs and other retail outlets.

Bernard Chaus Inc

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