The American Stock Exchange (Amex) announced that on December 12, 2007, the shareholders of Endeavor Acquisition Corp. approved the proposed merger with American Apparel Inc.
Endeavor Acquisition, previously listed on the Amex under the ticker symbol "EDA," changed its name to American Apparel Inc and, as of December 13, 2007, now trades under the ticker symbol "APP" as a result of the merger.
As of the closing date, the transaction value for the deal was over $800 million in stock, cash and assumption of debt.
American Apparel is a vertically-integrated manufacturer, distributor, and retailer of branded fashion basic apparel based in downtown Los Angeles, California.
As of December 1, 2007, American Apparel employed over 6,700 people and operated over 175 retail stores in 13 countries, including the United States, Canada, Mexico, United Kingdom, Germany, France, Italy, the Netherlands, Sweden, Switzerland, Israel, Japan and South Korea.
American Apparel also operates a leading wholesale business that supplies t-shirts and other casual wear to distributors and screen printers.
Approximately 2.7 million shares, valued in excess of $35 million at prices, have been authorized for grant to employees through this transaction.
It is expected that each active, full-time employee of American Apparel, whether an executive, factory worker, retail employee, or otherwise, will receive approximately 250 shares per each year of employment at the company, or roughly one share per each day worked.
"Becoming a publicly traded company is an exciting event for American Apparel, in no small part because it will allow the public the opportunity to participate in our success.
I am especially proud that this transaction will put a significant number of shares into the hands of our employees, who have played an important role in the success of our company to date," said Dov Charney, CEO of American Apparel.
"We believe that this is quite a unique employee stock program for the apparel industry, and reinforces our dedication to our factory workers who are already among the most highly compensated in our industry in the world."
"Endeavor Acquisition's merger with American Apparel is an exciting transaction and a testament to a growing investor demand for new alternative investment vehicles," said Neal Wolkoff, Chairman and CEO of Amex.
"Amex continues to be a leading listing venue for companies formed to complete a business combination and an important venue for their successor operating companies. We look forward to providing a competitive and transparent marketplace for American Apparel's shareholders."
