The rumors rolling the Australian business press last night is that talks between Paul Naude and Billabong have stalled, but, according to a story in The Age, Billabong says this not the case.
Billabong said it is on track to update the market on the status of exclusive talks on a potential takeover bid after exclusivity period ends this evening. . . ‘‘Consistent with the ASX announcement of April 9th, Billabong will then provide a further update on the status of the proposal,” a Billabong spokesman said.. . He refuted suggestions that negotiations have been delayed by Billabong failing to provide documents to the consortium lead by Billabong executive Paul Naude. . . ‘‘The team continues to work tirelessly and cooperatively, as it has done for almost four months. Any suggestion that information has been held back is entirely incorrect,’’ the spokesman said.
That means there should be an announcement real soon one way or another. Most analysts appear to believe a deal will go through because without it, Billabong is going to need to come up with another AUS$100 million to stay afloat. Talk about being stuck between rocks and sharper rocks. . .
[Link: The Age]
