Visitors Now:
Total Visits:
Total Stories:
Profile image
By ProactiveInvestors (Reporter)
Contributor profile | More stories
Story Views

Now:
Last Hour:
Last 24 Hours:
Total:

Blue Nile to be taken private in US$500mln deal

Monday, November 7, 2016 8:45
% of readers think this story is Fact. Add your two cents.

(Before It's News)

Online diamond jeweller Blue Nile Inc (NASDAQ:NILE) will go private after it agreed to be bought out by an investor group in a US$500mln deal.

Bain capital Private equity and Bow Street LLC will pay US$40.75 in cash for each outstanding Blue Nile share, a premium of more than a third on Friday’s closing price.

“This is an opportunity to acquire a true disruptor in a fundamentally attractive and growing segment of the diamond industry,” said Bain Capital’s managing director Ryan Cotton.

“Blue Nile provides a clearly superior consumer value proposition and offers a convenient delivery model that enables choice and selection in a no-pressure environment.”

Blue Nile’s board of directors unanimously approved the offer and urged to shareholders to support the transaction too.

“Since its inception, Blue Nile’s guiding principle has been to provide value to its customers, suppliers, and shareholders, and this transaction provides tremendous value to all,” said Blue Nile chairman, chief executive and President Harvey Kanter. 

Should the deal get the go-ahead as expected, it is likely to close in the first quarter of 2017, the parties said.

Blue Nile – which was founded in 1999 and taken public in 2004 – will continue to be headquartered in Seattle, Washington.

In a separate announcement, Blue Nile told investors that it recorded net income of US$1.3mln for the three months to September on revenues of US$105.1mln.

Shares were up 34% to US$40.68.

Story by ProactiveInvestors

Report abuse

Comments

Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

Top Stories
Recent Stories

Register

Newsletter

Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.