Mossimo (NASDAQ:MOSS)
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From May 2019 to May 2024
Mossimo, Inc. (NASDAQ: MOSS) today announced that on
April 17, 2006 it received an unsolicited proposal from Cherokee Inc.
to acquire all the outstanding shares of Mossimo, Inc. for $8.50 per
share, consisting of $6.00 per share in cash and $2.50 per share in
Cherokee stock. Consistent with its fiduciary duties to Mossimo's
stockholders, Mossimo's board of directors will meet to evaluate
Cherokee's proposal. A Mossimo spokesman indicated that it is too
early to determine whether the Cherokee letter constitutes a superior
proposal as compared to the proposed merger of Mossimo with Iconix
Brand Group, Inc. announced on April 3, 2006. The Iconix agreement
provides for Mossimo stockholders to receive payment of $4.25 in cash
and $3.25 in Iconix shares, subject to adjustments, plus, if the
Iconix common stock does not trade above $18.71 for at least twenty
consecutive trading days in the year following the merger, additional
shares of Iconix common stock shortly following the first anniversary
of the merger. These protective provisions are designed to provide
Mossimo, Inc. stockholders the opportunity to ultimately receive
per-share consideration which represents $8.50 per Mossimo share after
the merger.
In addition, Mossimo announced that on April 12, 2006, a purported
shareholder class action lawsuit was filed in the Superior Court of
the State of California for the County of Los Angeles entitled
Laborers' Local #231 Pension Fund vs. Mossimo, Inc. et al. The lawsuit
alleges that Mossimo and its board of directors breached their
fiduciary duties in approving the agreement with Iconix. A Mossimo
spokesman indicated that the company and the directors deny all
liability, believe the allegations in the complaint are without merit
and intend to defend the claims vigorously.
Founded in 1987, Mossimo, Inc. is a designer, licensor and
distributor of men's, women's, boys' and girls' apparel, footwear and
other fashion accessories such as jewelry, watches, handbags, and
belts.