Bauer announces name change; plan to list on NYSE
TORONTO (Reuters) - Sports equipment maker Bauer Performance Sports Ltd BAU.TO said on Monday it plans to list its shares on the New York Stock Exchange and change its name to Performance Sports Group Ltd, as part of a move to reflect its recent strategic acquisitions and expanded focus.
Earlier this year, Bauer announced it was buying the Easton baseball and softball business for $330 million in cash. The deal that closed in April transformed Bauer, which has long been known primarily as a leading maker of ice hockey equipment.
In conjunction with the plan to list on the NYSE, Bauer also said it plans to raise about $110 million via an equity offering in Canada and the United States. Bauer plans to use proceeds from the deal to pay down debt and repay part of the term loan facility taken on to fund the acquisition of the Easton assets.
Founded in Kitchener, Ontario, Bauer developed the first skate with a blade attached to the boot, an innovation credited with changing the game of hockey.
The company, which dates back to the 1920s, was owned for about a decade by U.S. sporting goods company Nike Inc (NKE.N) before being sold to private equity firm Kohlberg & Co in 2008. It was taken public via an initial public offering in 2011.
"With the No. 1 brands in ice hockey, roller hockey, baseball and softball, as well as a growing lacrosse business, the new name Performance Sports Group better defines our market leadership in high performance sports equipment," said Bauer's President Kevin Davis, in a statement.
In keeping with this name change, the company's stock symbol will change to IPO-PSG.TO on the Toronto Stock Exchange, and trading on the NYSE will begin on June 20, under the symbol IPO-PSG.N.
Morgan Stanley (MS.N), Bank of America Merrill Lynch (BAC.N) and RBC Capital Markets (RY.TO) are acting as joint bookrunners for the equity offering. The number of shares being issued and the price of each are yet be determined.
(Reporting by Euan Rocha. Editing by Andre Grenon)