Jarden to buy K2 for $1.2B

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stylefree

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Acquisitive consumer products company Jarden Corp. said Wednesday, April 25, it is buying sporting goods maker K2 Inc. in a cash and stock deal worth about $1.2 billion.

Under the terms, Jarden, which makes popular household products including Sunbeam appliances, will pay $15.50 per share comprising $10.85 per share in cash and 0.1086 of a Jarden share for each K2 share.

The price reflects a premium of 23% over the closing K2 share price of $12.58 on Tuesday and values K2's equity at $765.9 million. Including assumed debt, the deal comes in at $1.2 billion.

Jarden said the acquisition reflects its strategy of purchasing niche consumer-oriented brands.

Jarden said it expects the addition of K2 — whose brands include Penn, Rawlings and Stearns — will add to its earnings. K2 is best known for its own brand of skis, named after the second-highest mountain in the world.

Full article:

http://www.thedeal.com/servlet/ContentServer?cid=1175595358454&pagename=hpa&c=TDDArticle&p=M4YD5AR1

I don't think K2's operations will change much. Just some interesting news.

 
they'll probabl advertise k2 skis on there products now, may not be a good turn for skiing if you want to keep it a core sport.
 
" K2 is best known for its own brand of skis, named after the second-highest mountain in the world. "

...or not
 
no Andy, core as in the old Burt Retractable bindings that gave skiers motivation not to fall for fear of being macheted with their own ski!

 
it is named after the two Kirschner brothers who founded the company, Bill and Don, by making fiberglass skis in the 60s.
 
Exactly. Nothing will change. Just money changing hands at the ownership level. Welcome to the world of finance and corporate america
 
i may feel the same i liek k2 and am ridin some but i mean fuck i woudl rather buy from some company that cares about the skier and does the same shit when they can aka skiing not somecompany where the ceo earns like 25 million a year
 
I'm pumped! this toaster is ballin.

sunbeam.jpg


 
They made fishing poles too.

I dont think their product will change, they will still be 'core'. If not, Martha Stewart might be taking your job, Andy.
 
secondly. that is a pretty stupid comment.

you think now that k2 has been purchased by jarden they are going to make skis with fucking toasters and waffle makers on the top sheets? nothings gonna change at all in the production of their skis!! schmies will still be designing em, bibby, andy, pep, seth, pettit and michelle are all still gonna be riding for them. the same people that work at k2 who are just as passionate about skiing as everyone of us on here are still gonna be doing what as schmies said, "doing what they do best". 

 
the mods deleted my last post in record time...

K2 are selling out how gay...

now Seth Morrison rides for a toaster company how koool...

and for the record k2 sells for 1.2 billion and they dont pay Seth Morrison there best athlete, Hardley any money at all maybe 50 to 80 g a year maybea little more but he deseves like a million a year hes the best skier of all time... K2 went down hill when they moved there produciton to china and now they have gone even further down the hill selling out to a multnational corp. It doesnt matter if things are still run the same at k2 now the Dollars you spend on k2 skis go to fat old biz men who dont give 2 shits about skiing...... Sell outs, At least Rossi and dynastar was sold to Quiksilver there CEOS actually ski and surf ...
 
Jarden is just a holding company, they wont change the way K2 is run, they just get their cut of the profit. K2 and all their holding companies wont change at all
 
It isn't the sole entity of K2 Skis being sold for 1.2B. It is ALL brands enclosed under the umbrella, known as K2 INC. This includes K2 skis and snowboards, RIDE, LINE, Rawlings, ADIO, Marker, Volkl and many many more.

To make the comment that we 'sold out' is pretty dumb. We are a publicly traded company. That is what happens. People can purchase your stock. To think we will change our approach to what we do here at K2 is pretty dumb as well. As stated above, we will continue to do what we do, and that is make the best damned skis we possibly can.

 
Schmies is right, does anyone even know what they mean when they call a company out for "selling out"? Most of the time selling a business or moving up in the world only increases the quality of a product. Its natural growth of a company moving forwards.

People need to stop being so concerned about one company buying another. The true definition of selling out only holds true if you completely change what you do.

So if K2 got bought and started making only snowblades because the new parent company wanted skiing and snowboarding to die, then yeah maybe you could complain about them being sellouts. However a company making great skis for affordable prices with cool as shit graphics simply growing and having shares bought higher up brings only good for K2 the ski manufacturer.

People need to let go of this whole sellout hate-on. Its stifiling the growth of the industry.

 
"It doesnt matter if things are still run the same at k2 now the Dollars you spend on k2 skis go to fat old biz men who dont give 2 shits about skiing...... Sell outs, At least Rossi and dynastar was sold to Quiksilver there CEOS actually ski and surf ..."

As soon as we start making our skis look lame like half the offerings on the market and as soon as we stop innovating with some of the best new technology placed into ski design at competitive pricing, THEN, your comments will actually carry some weight. But that will never happen with our crew working here, so you can go cry 'sellout' on somebody else's shoulder. And for what is is worth, Jarden's CEO loves to ski.
 
Why would jarden just buy a company they "dont give two shits about", they bought k2 becuase they feel it is a postive thing for both parties involved, They aren't going to buy a company just to ruin it, its got to be something they think they can help improve, or something they will feel help grow, Think about it having a larger holding corportation could mean even more money at k2 to help advanced skiing anymore, think about it, more inovation like rockered skis!
 
I agree for the most part. i was part of a small boutique business that got bought by a larger corporation. Our work product remained the same (just as k2 skis should remain the same), but inevitably, some of the culture from the acquiring organization may seep into k2 (not always a bad thing).
 
doesnt matter you still sold out to a fukin toaster company... and you guys still make your skis in china and you still dont pay seth morrision enough money for what he does forthe company, no hate on you i have the up most respect for you personaly and your art work is amazing but when people buy k2 skis it now goes to a toaster making company... it doesnt matter if your a publicly traded company you have sold out.... end of story.... Billabong is a publicly traded company but the ceo Gordan merchant still owns 51 % of the company and keeps it on track, Same with volcom...... Im not crying on any ones shoulder im telling a fact you all work for a toaster maker ...
 
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