Kellwood Co. (NYSE: KWD), a marketer of apparel and consumer soft goods, has rejected a $544 million buyout offer from Sun Capital Partners. The company said that the $21 per share offer would not provide adequate value to stockholders.
“Our Board is committed to enhancing shareholder value,” said Robert C. Skinner Jr., chairman, president and chief executive officer, “and the Sun Capital proposal is not consistent with this objective. We continue to believe that executing our corporate strategy to reinvigorate our core business, expand our penetration into higher profile, better and above price point brands, connect more directly with consumers, and utilize our operating infrastructure more efficiently to fund our growth will deliver greater value to our shareholders. Our Board is determined to enable all of its shareholders to participate in these future benefits resulting from the Company's sales and earnings growth strategy.” www.kellwood.com