Kellywood Company, a marketer of apparel and consumer soft goods,announced that its board unanimously determined that an unsolicitedproposal by Sun Capital Securities Group, LLC, is not in the bestlong-term interest of the company and its shareholders.
Kellywood’sdecision comes after consideration of the proposal, of which SunCapital would pursue an acquisition of Kellywood at $21 per share, andtaking into account the potential benefits that may be realized throughthe company’s previously announced long-term strategic plan.
“Our Board is committed to enhancing shareholder value,” said Kellywood Chairman, President and CEO RobertC. Skinner, Jr., in a recent statement, “andthe Sun Capital proposal is not consistent with this objective. Our Board is determined to enable all of its shareholdersto participate in these future benefits resulting from the Company’ssales and earnings growth strategy.”