Fairchild Corp. Fields Offer to go Private
August 11, 2006
Filed under Uncategorized
Powersports apparel and accessories supplier Fairchild Corporation, McLean, Va., has received a $68 million acquisition offer that would take the company private.
Fairchild, which also operates in the aerospace industry, said the offer came from Delaware-based FA Holdings LLC, a firm led by Philip Sassower, chairman of Phoenix Group International LLC, and Fairchild's chief executive, Jeffrey J. Steiner.
FA Holdings proposed to acquire all of Fairchild's outstanding shares for $2.73 per share, a 20 percent premium to the stock's Aug. 4 closing price of $2.27.
Fairchild announced the deal Aug. 7.
While Fairchild's board of directors had already formed a committee of independent directors to consider any such proposals, company officials say they have not yet decided on a response to the FA Holdings proposal.
"There can be no assurance that any definitive agreement will be executed or that any transaction will be approved or consummated," said a prepared statement.