WestPoint Stevens Receives Buyout Offer From CEO
WestPoint Stevens Inc., West Point, Ga., received a proposal from Holcombe T. Green Jr., chairman
and CEO of the company, to acquire WestPoint Stevens in a leveraged buyout transaction.
Green proposed that all outstanding shares of WestPoint Stevens’ common stock be acquired for $21.00 per share through a merger of an entity owned by Green’s affiliates with WestPoint Stevens.
Approval of the transaction will be subject to the negotiation of a definitive merger agreement, the approval of WestPoint Stevens’ board of directors and stockholders and receipt of appropriate financing.
In November 1999, WestPoint Stevens hired Merrill Lynch & Co. to assist the board in exploring strategic and financial alternatives for the purpose of enhancing stockholder value.
While there is no guarantee that a transaction with Green and his affiliates will result, Merrill Lynch is currently evaluating the buyout proposal and will continue to investigate other possible financial options for WestPoint Stevens.