NEW YORK — Mossimo Giannulli is proposing to acquire the outstanding publicly held shares of the company he founded for $4 per share, in cash.
Mossimo Inc. said on Tuesday that the proposal represents a 20 percent premium over Monday’s closing price of $3.32 a share.
Shares of Mossimo trade over-the-counter, and closed Tuesday up 24.7 percent to $4.14. It’s 52-week high is $4.44, and the low is $2.67.
Giannulli, who founded the company in 1987 and remains its chairman and chief executive officer, owns 65 percent of the stock. He said through his firm that he expects the board will form a special committee of independent directors to consider his proposal.
The ceo told the company’s board that he will “not consider” any other transaction involving his interest in Mossimo.
Meanwhile, class-action law firm Wolf Popper filed a suit Tuesday on behalf of Mossimo Inc. public shareholders in the Delaware Court of Chancery in New Castle County. The firm said the suit is seeking to bar the proposed buyout on grounds that the offer isn’t high enough.
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