Shareholders Approve Sport Chalet SaleMonday, August 18, 2014
Sport Chalet Inc. shareholders have approved a $70 million acquisition of the La Canada Flintridge retailer by a Connecticut sporting goods company, the companies announced Monday.
Shareholders had until midnight Aug. 15 to approve the offer of $1.20 a share from Vestis Retail Group LLC in Meriden, which also owns Eastern Mountain Sports and Bob’s Sports.
The final tally showed 94.7 percent of Class A family shares and 89 percent of outstanding Class B shares approved the sale, including the-more-than 50 percent owned by senior management and the family of the late founder Norbert Olberz.
Originally, there was an Aug. 1 deadline to approve the sale of the company for $1.20 a share. However, a threshold of 90 percent of both Class A and Class B shareholders needed to approve the sale was not met. Vestis deferred its right to decrease the acquisition price to $1.04 per share after the first deadline passed.
Vestis will buy up any remaining shares not tendered at $1.20 a share.
Craig Levra, Sport Chalet’s chief executive and chairman, will continue in his current position and Sport Chalet will continue to operate from its La Canada Flintridge headquarters.
Vestis, which is owned by funds advised by Versa Capital Management LLC, said that the three sporting goods companies would have had $800 million in combined sales last year.
Class A shares rose 1 cent to close at $1.19 and Class B shares rose 6 cents to close at $1.22 in trading on the Nasdaq.