"Go-Shop" Period for Spectrum-Russell Hobbs Deal Ends
April 12, 2010,
ATLANTA-The "go-shop" period--the time frame in which a company can solicit alternative proposals--has ended for Spectrum Brands' proposed acquisition of Russell Hobbs, formerly known as Salton Inc.
In a company statement, Spectrum Brands said it still expects the deal to be finalized this summer. As announced on Feb. 9, the all-stock transaction would add small-appliance brands such as Black & Decker, George Foreman, LitterMaid, Toastmaster and others to Spectrum's portfolio of products. In addition, Harbinger Capital Partners, owner of Russell Hobbs and holder of 40 percent of Spectrum's shares, would own about 63.7 percent of the combined company.
Spectrum said it did not receive any alternative proposal during the go-shop period that the board of directors felt was superior to the proposed Russell Hobbs merger. The combination is expected to create a global consumer-products company with annual sales of about $3 billion.