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Jarden to buy K2 for $1.2B

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stylefree
Posts: 233 - Karma: 10
Acquisitive consumer products company Jarden Corp. said Wednesday, April 25, it is buying sporting goods maker K2 Inc. in a cash and stock deal worth about $1.2 billion.
Under the terms, Jarden, which makes popular household products including Sunbeam appliances, will pay $15.50 per share comprising $10.85 per share in cash and 0.1086 of a Jarden share for each K2 share.

The price reflects a premium of 23% over the closing K2 share price of $12.58 on Tuesday and values K2's equity at $765.9 million. Including assumed debt, the deal comes in at $1.2 billion.

Jarden said the acquisition reflects its strategy of purchasing niche consumer-oriented brands.

Jarden said it expects the addition of K2 — whose brands include Penn, Rawlings and Stearns — will add to its earnings. K2 is best known for its own brand of skis, named after the second-highest mountain in the world.

Full article:
http://www.thedeal.com/servlet/ContentServer?cid=1175595358454&pagename=hpa&c=TDDArticle&p=M4YD5AR1

I don't think K2's operations will change much. Just some interesting news.

Apr 25 2007 11:49AM
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skogenjake
Posts: 6685 - Karma: 511
i wonder what k2 stock will do
Apr 25 2007 11:52AM
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andrewg
Posts: 4746 - Karma: 18
jea jea a company that makes house hold products makin skeez
Apr 25 2007 11:59AM
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STACKS
Posts: 1938 - Karma: 42
i like K2
Apr 25 2007 12:00PM
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followCam
Posts: 1907 - Karma: 446
they'll probabl advertise k2 skis on there products now, may not be a good turn for skiing if you want to keep it a core sport.
Apr 25 2007 12:03PM
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Holte
Posts: 10730 - Karma: 7,744
or they'll advertise household products on K2 skis.
Apr 25 2007 12:10PM
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flyinghighagain
Posts: 1069 - Karma: 22
^^ thats what i was thinking lol
Apr 25 2007 12:12PM
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sconnyFC
Posts: 2197 - Karma: 76
" K2 is best known for its own brand of skis, named after the second-highest mountain in the world. "


...or not
Apr 25 2007 12:13PM
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bp.lando
Posts: 9297 - Karma: 1,495
hell ya Mr. Coffee and K2 Skis from the same company!
Apr 25 2007 12:14PM
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ATLskier
Posts: 8203 - Karma: 406
I don't know about you, but the Sunbeam ghetto's look to be a pretty sick ski, rockered and everything.
Apr 25 2007 12:17PM
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timoski
Posts: 3036 - Karma: 45
and K2 owns LINE...
Apr 25 2007 12:25PM
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SeanK
Posts: 702 - Karma: 130
i wonder if there shit will be cheaper
Apr 25 2007 1:16PM
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eheath
Posts: 61091 - Karma: 118,104
I don't think skis can get much cheaper bro.
Apr 25 2007 1:19PM
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aussieskier
Posts: 805 - Karma: 182
or we can have the pontoon oven
super fat for those big cook offs before a powder day
Apr 25 2007 1:24PM
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STAUSS
Posts: 8232 - Karma: 3,311
schimies, whats your word?
Apr 25 2007 2:06PM
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Mahre
Posts: 2507 - Karma: 490
core? as in neon colors, 210s, and head bands?
Apr 25 2007 3:57PM
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Justo8484
Posts: 3905 - Karma: 204
glen plake?
Apr 25 2007 3:59PM
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Pipe_Munky
Posts: 10887 - Karma: 2,165
no Andy, core as in the old Burt Retractable bindings that gave skiers motivation not to fall for fear of being macheted with their own ski!




Apr 25 2007 4:09PM
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schmies
Posts: 2032 - Karma: 505
Only affects stock holders. We will still be doing what we do best.
Apr 25 2007 4:09PM
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Ryanvdonk
Posts: 12808 - Karma: 1,945
i love how they are completely wrong in saying K2 is named after the mountain.
Apr 25 2007 4:11PM
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freeskier1316
Posts: 1771 - Karma: 27
whats k2 named after then?

sad days for k2 :(
Apr 25 2007 4:23PM
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chickenwang
Posts: 5639 - Karma: 40
^and line
Apr 25 2007 4:28PM
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Mezmerize19
Posts: 6475 - Karma: 18
The Kirschner bros. they founded it together thus the name K2
Apr 25 2007 4:28PM
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freeskier1316
Posts: 1771 - Karma: 27
o thanks i never thought of that
Apr 25 2007 4:31PM
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Ryanvdonk
Posts: 12808 - Karma: 1,945
it is named after the two Kirschner brothers who founded the company, Bill and Don, by making fiberglass skis in the 60s.
Apr 25 2007 4:31PM
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miroz
Posts: 10333 - Karma: 3,947
^that makes sense. I read something about those two...they sounded cool
Apr 25 2007 4:39PM
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poofartpee
Posts: 7436 - Karma: 1,537
not cool...but sell outs are how the market works these days
Apr 25 2007 7:20PM
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andrewg
Posts: 4746 - Karma: 18
looks like i bought my last pair of k2 skis for awhile
Apr 25 2007 7:22PM
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HeathR
Posts: 4357 - Karma: 1,379
good to hear. I like k2
Apr 25 2007 7:29PM
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stylefree
Posts: 233 - Karma: 10
Exactly. Nothing will change. Just money changing hands at the ownership level. Welcome to the world of finance and corporate america
Apr 25 2007 8:42PM
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keystoner1
Posts: 2143 - Karma: 11
i may feel the same i liek k2 and am ridin some but i mean fuck i woudl rather buy from some company that cares about the skier and does the same shit when they can aka skiing not somecompany where the ceo earns like 25 million a year
Apr 25 2007 8:53PM
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KG_
Posts: 2198 - Karma: 20
ddnt k2 buy line too? whats that guna doo
Apr 25 2007 8:57PM
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titsLOL
Posts: 7485 - Karma: 396
I'm pumped! this toaster is ballin.

Click for larger image

Apr 25 2007 8:57PM
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*scotty
Posts: 1579 - Karma: 20
firstly. yes they did start making dog kennels
Apr 26 2007 12:22AM
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SHastatahoe
Posts: 3414 - Karma: 19
They made fishing poles too.

I dont think their product will change, they will still be 'core'. If not, Martha Stewart might be taking your job, Andy.
Apr 26 2007 12:32AM
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*scotty
Posts: 1579 - Karma: 20
secondly. that is a pretty stupid comment.

you think now that k2 has been purchased by jarden they are going to make skis with fucking toasters and waffle makers on the top sheets? nothings gonna change at all in the production of their skis!! schmies will still be designing em, bibby, andy, pep, seth, pettit and michelle are all still gonna be riding for them. the same people that work at k2 who are just as passionate about skiing as everyone of us on here are still gonna be doing what as schmies said, "doing what they do best". 

Apr 26 2007 12:32AM
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4ReeL_
Posts: 3187 - Karma: 1,563
k2 skis are disposable why do you think they are so inexpensive
Apr 26 2007 1:00AM
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theoz
Posts: 2379 - Karma: 128
the mods deleted my last post in record time...

K2 are selling out how gay...
now Seth Morrison rides for a toaster company how koool...

and for the record k2 sells for 1.2 billion and they dont pay Seth Morrison there best athlete, Hardley any money at all maybe 50 to 80 g a year maybea little more but he deseves like a million a year hes the best skier of all time... K2 went down hill when they moved there produciton to china and now they have gone even further down the hill selling out to a multnational corp. It doesnt matter if things are still run the same at k2 now the Dollars you spend on k2 skis go to fat old biz men who dont give 2 shits about skiing...... Sell outs, At least Rossi and dynastar was sold to Quiksilver there CEOS actually ski and surf ...
Apr 26 2007 1:19AM
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[~_~]
Posts: 20239 - Karma: 1,273
NEEEON!!!!
Apr 26 2007 1:29AM
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Shpadoinkle
Posts: 10437 - Karma: 84
you don't think the mountain had any kind of role in the naming of their company? i think so.
Apr 26 2007 6:18AM
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yeahitsdave
Posts: 1315 - Karma: 10
Jarden is just a holding company, they wont change the way K2 is run, they just get their cut of the profit. K2 and all their holding companies wont change at all
Apr 26 2007 10:23AM
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skiierman
Posts: 28699 - Karma: -5,563
Wow, that's so much money. Unreal how much a ski company like K2 is worth. I wonder about Armada....
Apr 26 2007 10:40AM
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Shpadoinkle
Posts: 10437 - Karma: 84
armada is just skis though...k2 is pretty much an all-around company.
Apr 26 2007 12:53PM
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SHastatahoe
Posts: 3414 - Karma: 19
I think Armada is worth about 17 dollars and 25 cents.
Apr 26 2007 1:04PM
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schmies
Posts: 2032 - Karma: 505
It isn't the sole entity of K2 Skis being sold for 1.2B. It is ALL brands enclosed under the umbrella, known as K2 INC. This includes K2 skis and snowboards, RIDE, LINE, Rawlings, ADIO, Marker, Volkl and many many more.

To make the comment that we 'sold out' is pretty dumb. We are a publicly traded company. That is what happens. People can purchase your stock. To think we will change our approach to what we do here at K2 is pretty dumb as well. As stated above, we will continue to do what we do, and that is make the best damned skis we possibly can.

Apr 26 2007 2:47PM
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Mr.Bishop
Posts: 22671 - Karma: 75,830
Schmies is right, does anyone even know what they mean when they call a company out for "selling out"? Most of the time selling a business or moving up in the world only increases the quality of a product. Its natural growth of a company moving forwards.

People need to stop being so concerned about one company buying another. The true definition of selling out only holds true if you completely change what you do.

So if K2 got bought and started making only snowblades because the new parent company wanted skiing and snowboarding to die, then yeah maybe you could complain about them being sellouts. However a company making great skis for affordable prices with cool as shit graphics simply growing and having shares bought higher up brings only good for K2 the ski manufacturer.

People need to let go of this whole sellout hate-on. Its stifiling the growth of the industry.



Apr 26 2007 2:53PM
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4ReeL_
Posts: 3187 - Karma: 1,563
yes and we all know k2 deff needs to increse the quality of their product.
Apr 26 2007 2:55PM
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schmies
Posts: 2032 - Karma: 505
"It doesnt matter if things are still run the same at k2 now the Dollars you spend on k2 skis go to fat old biz men who dont give 2 shits about skiing...... Sell outs, At least Rossi and dynastar was sold to Quiksilver there CEOS actually ski and surf ..."

As soon as we start making our skis look lame like half the offerings on the market and as soon as we stop innovating with some of the best new technology placed into ski design at competitive pricing, THEN, your comments will actually carry some weight. But that will never happen with our crew working here, so you can go cry 'sellout' on somebody else's shoulder. And for what is is worth, Jarden's CEO loves to ski.
Apr 26 2007 3:02PM
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bp.lando
Posts: 9297 - Karma: 1,495
Why would jarden just buy a company they "dont give two shits about", they bought k2 becuase they feel it is a postive thing for both parties involved, They aren't going to buy a company just to ruin it, its got to be something they think they can help improve, or something they will feel help grow, Think about it having a larger holding corportation could mean even more money at k2 to help advanced skiing anymore, think about it, more inovation like rockered skis!
Apr 26 2007 3:09PM
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japanair
Posts: 441 - Karma: 40
I agree for the most part. i was part of a small boutique business that got bought by a larger corporation. Our work product remained the same (just as k2 skis should remain the same), but inevitably, some of the culture from the acquiring organization may seep into k2 (not always a bad thing).
Apr 26 2007 3:19PM
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