Easton-Bell Sports Reaches Agreement to Sell Easton Baseball/Softball to Bauer Performance Sports for $330 Million
February 13 2014 - 1:00PM
Business Wire
Company Also in Discussions for Sale of Easton
Hockey to Third Party
Transformative Transactions to Enable Company
to Reinvest in Bell, Riddell, Giro, Blackburn & Easton Cycling
and Focus on Core Strengths
Company to be Renamed BRG Sports
Easton-Bell Sports, Inc. (“Easton-Bell” or “the Company”), a
leading designer, developer and marketer of branded sports
equipment, protective products and related accessories, today
announced that it has entered into an agreement with Bauer
Performance Sports (“BPS”) (TSX: BAU) under which BPS will acquire
the Easton Baseball/Softball business for $330 million in cash. BPS
is a leading developer and manufacturer of ice hockey, roller
hockey, lacrosse, baseball and softball sports equipment as well as
related apparel. The acquisition is subject to regulatory approvals
and customary closing conditions and is expected to be completed in
the next 30-60 days.
Easton-Bell also announced that it is working towards an
agreement with a third party for the sale of Easton Hockey.
Proceeds from these transactions will be used to grow and
reinforce the market-leadership of the Company’s remaining brands –
Bell, Riddell, Giro, Blackburn and Easton Cycling – as well as to
strengthen the Company’s balance sheet and for other strategic
initiatives. Following the completion of these transactions, the
Company will be renamed BRG Sports and will focus on the attractive
Action Sports and Football markets.
“These transformational transactions provide a terrific
opportunity for us to focus on growing our core football and action
sports brands and enhancing our cutting-edge, market-leading
products, while simultaneously streamlining our operations and
solidifying our financial strength,” said Easton-Bell Sports
Executive Chairman and CEO Terry Lee. “Becoming a leaner, more
focused organization will further enable BRG Sports to move faster
and smarter, take full advantage of strategic growth opportunities,
and strengthen its broad leadership position in today’s competitive
marketplace.”
Lee continued, “We are very proud of the strong
baseball/softball business we built, which set the standard for
innovation and excellence in the industry. We are confident that
under BPS’ leadership this business will achieve its full
potential.”
BRG Sports’ brand portfolio features market leaders across the
sports equipment industry. Bell is synonymous with protection and
progression as the leader in motorcycle and cycling helmets and
accessories. For over 80 years, Riddell has been the premier
designer and developer of football helmet technology and continues
to deliver innovative protective equipment that helps today's
athlete perform at the highest level. Since creating the first
lightweight, high-performance helmets for cycling and snowsports,
Giro has excelled in the design, fit and engineering of products
that complement the body and improve the ride experience. Blackburn
looks at things from the user’s perspective, showing respect for
materials and their functionality, while bringing unprecedented
innovation to lights, pumps, bags, racks and other bicycle
accessories. Using novel technology, Easton Cycling provides
world-class cycling wheels and components to manufacturers and
riders around the globe.
Easton-Bell’s current owners, Fenway Partners, LLC and Ontario
Teachers’ Pension Plan, will maintain their investments in the
Company.
Morgan Stanley & Co. LLC acted as financial advisor, and
Ropes & Gray, LLC acted as legal advisor to the Company in
connection with the transactions.
About Easton-Bell Sports
Easton-Bell Sports, Inc. is a leading designer, developer and
marketer of branded sports equipment, protective products and
related accessories. The company markets and licenses products
under such well-known brands as Easton, Bell, Giro, Riddell and
Blackburn. Its products incorporate leading technology and designs
and are used by professional athletes and enthusiasts alike.
Headquartered in Van Nuys, California, the company has 34
facilities worldwide. More information is available at:
www.eastonbellsports.com.
Easton-Bell SportsErin Griffin,
224-585-5231eegriffin@eastonbellsports.com
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