Zumiez offers higher price for West 49 than Billabong

12 Jul '10

2 min read

Billabong International Limited notes the announcement by West 49, Inc. dated 9 July 2010 in which it outlines it has received a proposal from Zumiez, Inc. (“Zumiez”) to acquire West 49 for a price in excess of C$1.30 per share, “subject to a satisfactory due diligence review.”

On 30 June 2010, Billabong announced it had entered into a definitive acquisition agreement (“Agreement”) with West 49, pursuant to which Billabong would acquire West 49 for C$1.30 per share.

The West 49 board has determined that the proposal from Zumiez “would reasonably be expected to lead to a superior proposal” and has notified Billabong that, subject to the terms of the Agreement, it intends to allow Zumiez to conduct due diligence to determine if its proposal can become a firm offer that is financially superior to the Billabong offer.

The West 49 special committee and board as a whole have confirmed that they “continue to support the Billabong transaction and confirm their unanimous conclusion that the transaction with Billabong is in the best interests of the Company and is fair to the Company's securityholders.” At this time, Billabong does not expect there will be any impact to the existing transaction timetable.

Billabong will continue to monitor the situation and will make further announcements as appropriate.

Billabong International Limited

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