Details: Billabong lost $53 mil last year!
Rejected a takeover bid 4 times as much just five years ago and other salacious insights!
Yesterday, alongside sister publication The Wall Street Journal, we broke* exclusive** news of Quiksilver’s acquisition of former rival Billabong and today we have more information on the blockbuster deal through our partners at the BBC. Quiksilver’s official business name was changed to Boardriders last year and took over the company which was valued at $155 million. And when I write “Quiksilver” or “Boardriders” I mean Oaktree Capital.
According to the report, Billabong lost $58 million dollars in 2017, only made a profit during one of the past five years. Also, Billabong rejected a takeover bid in 2012 that was worth four times the amount agreed to yesterday.
Chief Executive Neil Fiske said,”Billabong’s brands’ great strength is their authenticity and heritage. I’m confident those qualities will not simply be protected but enhanced by a new organisation that will have the scale and financial security to continue to support and build them as we enter into a new and dynamic retail environment.”
I have many questions. Like, where did Billabong’s 53 million dollars go? And how much both Andy Warhol and Iggy Pop were responsible for? And if Italo Ferreira gets cut due “cost saving measures” will Quiksilver scoop him up?
And, in these corporate takeover scenarios, does the word “synergies” mean the same thing as “lay-offs”? And the stock market has been soaring for the last few years. Is the surf industry immune to good times?
And how long before Quiksilver and Billabong appear exclusively at Target?
Do you have answers?
* Stab recently claimed they “broke every single WSL story” of 2017 apparently changing the definition of the word “broke.”
** BeachGrit will attempt to do the same thing for the word “exclusive” this year.