Kellwood Co. advised its shareholders Tuesday morning against selling their shares to Sun Capital Securities Group LLC, after the private equity group renewed its bid for the vendor of $21 a share Monday night.
Kellwood said its board will review Sun Capital’s offer and then “make a recommendation to shareholders in due course,” according to a statement from the $1.6 billion vendor, which pointed out the latest Sun Capital offer is the same as the one it’s made twice before. Kellwood turned down both previous offers.
The Kellwood statement came out while Sun Capital was hosting a conference call to make its case for why shareholders should accept the bid.
Earlier this month, Kellwood made its own stock buyback offer totaling $80 million. Kellwood stock closed Monday night at $16.51.
For more, see Wednesday’s issue of WWD.