NEW YORK — Marciano Investments Inc., an investment partnership 60 percent owned by Georges Marciano and 40 percent by Paul Marciano, plans to sell 1.2 million shares of Farah Inc. as part of a secondary offering.
Farah itself plans to sell another 1.4 million shares.
At current market prices, the Marciano brothers will take home about $24 million. The two acquired the stake in August 1992 for approximately $5.7 million, or $4.77 a share.
On Friday, Farah’s stock closed at 19 5/8, down 3/8 on the New York Stock Exchange.
After the offering, the Marciano’s stake together in Farah will be reduced to 12.7 percent, or 1.2 million shares, from 26.8 percent, and Marciano Investments will be dissolved.
The shares of each brother will be held separately, with Georges owning 974,000 Farah shares, which is a 10.1 percent stake, and Paul owning 248,000 shares, or 2.6 percent.
The two Marcianos have been working to dissolve Marciano Investments since Georges Marciano left as chairman of Guess Inc. in August 1993. Paul Marciano is president of Guess.
Farah, a men’s wear maker based in El Paso, Tex., returned to profitability in its year ended Nov. 5, driven by robust demand for the Savane wrinkle-free line of products.
Proceeds of about $28 million going to Farah will be used to expand capacity and reduce debt.
Bear Stearns & Co. will underwrite the offering.