YAC has agreed to combine with SSU and the WiggleCRC Group based on a $3.2 billion (€2.6 billion) pro forma enterprise valuation. The transaction is expected to deliver up to approximately $645 million (€531 million) of gross proceeds. The expected net revenue is approximately $1.6 billion (€1.3 billion) in the financial year ending in September 2021.
Bike & Outdoor was SSU’s largest segment over the twelve-month period ending March 31, 2021. The segment grew approximately 40% in revenue compared to the prior year period, and in the rest of Europe, growth exceeded 60% in revenue compared to the prior year period. Unanimous approval
“SSU is a global leader in the fastest-growing sports categories and is well-positioned for continued success as a public company,” said Ron Burkle, Chairman and President of Yucaipa. “With its technology platform – and a combination of scale, international growth and profitability – we expect SSU to grow its leadership positions and accelerate its global expansion.”
The transaction has been unanimously approved by the Boards of Directors of each of YAC and SSU, and is subject to approval by YAC’s shareholders and other customary closing conditions. The transaction is expected to close in the second half of 2021. Upon completion of the transaction, the combined company will trade on the NYSE under the SIGNA Sports United name.