Earlier today reports of Miami-based action sports mall retailer Adrenalina putting out a $293 million buyout out offer to Pacific Sunwear have now turned into stories of the whole deal being tabled according to a report on Just-style.com.
Original reports quoted Adrenalina CEO Ilia Lekach saying the following:
This action represents our confidence that Adrenalina can reinvigorate PacSun – a powerful brand name whose underlying retail concept has grown stale – by applying our innovative approach of fusing an exceptional product mix to an exciting entertainment destination,” Lekach said in a news release.
The Motley Fool has already called bullshit on the deal.
While the surf-and-skatewear company could use a lift — its stock is off about 80% from its 52-week high — this looks like little more than a publicity stunt or a bid to boost Adrenalina’s own stock price. That’s because its chairman and CEO is Ilia Lekach, who has a rich history of playing such games.
Adrenalina stock got a 40 percent bounce this morning all the way up to $1.70. So maybe the offer was enough.
[Link: Just-Style and Business Journal and The Motley Fool]
