Dorel Industries Inc. and Cannondale Bicycle Corporation
- Client: Dorel Industries Inc.
- Date: February 2008
- Location: Connecticut, Canada, Switzerland, Holland, Japan, Australia
Summary:
Schiff Hardin acted as lead counsel in a major transaction for a public company that made business news headlines all over North America. In February of 2008, lawyers in our Corporate and Securities group represented Dorel Industries Inc. in its acquisition of Cannondale Bicycle Corporation. Cannondale, headquartered in Bethel, Connecticut, also has facilities in Canada, Switzerland, Holland, Japan and Australia. The total value of the all-cash transaction was $190 to $200 million, subject to earnings results.
Our Corporate and Securities attorneys were joined in the acquisition by others from diverse areas of Schiff Hardin's practice, including Tax, Intellectual Property, Real Estate and others. The completed deal allows our client to move into the market category of Independent Bicycle Dealers (IBD), and Dorel's new division, Cannondale Sports Group, will focus exclusively on providing premium-oriented brands to this channel.
This was the second (though not the last) bicycle company deal Schiff Hardin handled for Dorel Industries. In 2004, our firm represented Dorel in its acquisition of Pacific Cycle, a division of Dorel that now serves the mass market bicycle segment.