Takeover talks continue, says Billabong

Shares in Billabong have been suspended from trade as it continues negotiations for a possible takeover. Resource

The company requested the suspension of trade on Thursday, so it could “progress discussions with interested parties”.

Billabong shares were placed in a trading halt earlier this week, ahead of an expected update from the company about its talks with the Sycamore consortium.

The consortium, made up the retailer’s US-based executive Paul Naude and private equity firm Sycamore Partners, has made a $287 million offer for the company.

That trading halt was due to end at the start of market trading on Thursday.

The talks between Sycamore and Billabong were due to end on Wednesday. Despite the ongoing negotiations, Billabong has repeatedly said there is no guarantee a takeover will proceed.

The retailer has also been in talks with rival consortium VF Corporation – the owner of The North Face and Timberland outdoor clothing brands – and private equity firm Altamont Capital Partners.

AAP

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