Sleepwear, children’s wear and accessories manufacturer, Jaclyn, Inc. to merge with Jaclyn Holdings Parent LLC, an affiliate of Golden Touch Imports, Inc. Going forward, the company will be known as Jaclyn, Inc.
Jaclyn, Inc. shareholders have approved the merger for $7.85 a share, which represents 16 percent above the closing bid price of the company’s common stock on January 19, 2017. The deal is expected to close by the end of the first quarter.
“After thorough analysis, the Special Committee and the Board have endorsed this proposed acquisition, which we believe maximizes value for our stockholders. On behalf of the Board, I would like to recognize our outstanding team of dedicated employees who have made Jaclyn the success it is today. Jaclyn and Golden Touch share the same high operating standards and have a similar overall company culture. We look forward to working with Golden Touch to promptly complete the transaction,” said Robert Chestnov, co-president and co-chief executive officer of Jaclyn.
“We are thrilled that the fine and accomplished Jaclyn team will be joining our family. Both of our companies have a culture built on honesty and integrity. We look forward to incorporating best practices from each business to improve our ability to serve our customers,” said Bruce Fischer, president of Golden Touch, which manufactures juniors, missy, plus and girls apparel.
In its latest earnings results, Jaclyn Inc. posted a 4 percent drop in net sales to $118.2 million for the nine-month period, ending November 30, 2016. Net earnings were $153,000 for the same period, compared to $155,000 for the same period of 2015.