Any updates on the sale of NBH?

[Chadd 916]

Guys,

A bit off topic, and maybe a stupid question, but when they do sell will it go back to being just Bauer hockey or retain the Nike Bauer name? Alos what about the products will they be the same or change? I have always used Bauer poducts then to nike bauer, I was going to buy some new equipment but with the sale comming im not sure I will buy from them now. Reason being if the name changes, or equipment changes im not going to get used to a product then have to get something else later on. Plus who wants stuff that says Nike Bauer when they wont exist anymore. Any insight would be helpfull. If it does change, looks like RBK/CCM for me. Someone who hates change, I found it difficult when I came back to hockey and all the sticks were composites.

thanks,

Casey

First of all, buy products that fit and you like. Don't buy because you like, or dislike the name. I see guys still wearing Jofa or Cooper products or searching for Innovative sticks and wishing they were still around so I wouldn't worry about using a name that has changed.

Since it's going to be investment guys and not another company, it's unlikely that there will be major changes to the design group. The product should continue to evolve as it has over the last few years, although likely at a slower pace without the R&D resources available from Nike.

As for hating change, that's not a good outlook on life. I'm not saying you should welcome it or look forward to change, but accepting and adapting is what life is all about.

[Vermette20 0]

I probably should have worded things better, its not the name as much as it is the product. I have used either bauer or nike/bauer for over 10 years and would like to continue using the products, I just dont want to buy say a pair of Nike Bauer 4 rolls, and when i need another pair not be able to get them anymore etc.. I stick with what works I guess thats my main concern. I read an article I found earlier that the company will remain the same name etc.. so with that being said, they will continue to do as they have been. Nice relief I wasnt looking forward to having to change companies. As to not liking change, it was a bit getting used to composites since the woody stick market is almost non existant now, but after 4 years I think I have gotten used to them.

thanks,

Casey

[Chadd 916]

I probably should have worded things better, its not the name as much as it is the product. I have used either bauer or nike/bauer for over 10 years and would like to continue using the products, I just dont want to buy say a pair of Nike Bauer 4 rolls, and when i need another pair not be able to get them anymore etc.. I stick with what works I guess thats my main concern. I read an article I found earlier that the company will remain the same name etc.. so with that being said, they will continue to do as they have been. Nice relief I wasnt looking forward to having to change companies. As to not liking change, it was a bit getting used to composites since the woody stick market is almost non existant now, but after 4 years I think I have gotten used to them.

thanks,

Casey

Product lines change every 2-3 years so everything is going to change by the time you're ready to replace it. Blame the kids who always want something different, even if it isn't any better. As for composite blades, I hate the feel compared to wood but I'll live with it since I save so much on replacements over time. I also stocked up on the shafts that I like after they were discontinued, so I'm a big fan of sticking with something that works for you.

[BigDipper 0]

I read that part of the sale agreement was that the buyer was to retain the "NIKEBAUER" nameplate until 2010. Apparantly Nike said they wanted to keep thier hands in the apparel market of hockey, as it was the most profitable for the them.

[walkerdb7 18]

I read that nike was going allow the new company to use NikeBauer until 2010 as well.

However, I wouldnt be surprised if Nike allows the new company to license the swoosh or keeps like 10% of Bauer. As long as the product stays cutting edge and top notch, Nike would be crazy to abandon the brand exposure of the all 4500 helmets in the NHL...

Worst case sinario, Bauer comes back like it was until 2 years ago when it became NikeBauer. Your helmet will have the flying B on the side and no swoosh on the front...

[ramensandwich 1]

duct tape is silver, but silence is golden.

[hunterphfr 12]

Do you guys think the Nike name and the Swoosh have made deep enough inroads into hockey culture. Think back to a time not that long ago. Nike and Bauer were 2 different equipment lines. Bauer sales were constant and Nike sales were floundering. Nike just couldn't crack the market, in fact several posts were made here to the effect of never buying anything with the Nike name on it. Nike did an end run on these individuals by combining the names. You want the Bauer tradition and quality you get the Nike name as well.

I'm not so sure keeping the Nike name would be beneficial to the new owners. I guess they'll have to way two different market shares

The youth for whom Nike and Bauer are synonimous and may resist a return to the old way.

The long term older player who resisted the change from just Bauer originally but may have thrown in the towel and accepted the change.

[Rustyhole 1]

pretty much always worn Bauer/Nike Bauer skates as they fit me quite well and thats more important than the nameplate!

[walkerdb7 18]

maybe the new company could bring cooper... I mean if people are so concerned with a true hockey brand and all

[walkerdb7 18]

nice article...

http://www.nytimes.com/2008/02/05/business...amp;oref=slogin

No sale is finalized

[VakarLajos 5]

I read that part of the sale agreement was that the buyer was to retain the "NIKEBAUER" nameplate until 2010. Apparantly Nike said they wanted to keep thier hands in the apparel market of hockey, as it was the most profitable for the them.

I also heard the same thing about keeping "Nike Bauer" until 2010 from the NBH's SE pro-rep.

[Krev 86]

Can we just get this damn thing over with already.

[theWB 2]

Just heard today that NBH is wrapping up the sale to an investment group out of pennsylvania.

[crazygoalie39 0]

The sale was a point of discussion during the Vegas show and according to everyone there, the sale has already been completed for far less that what the original asking price was. Although no one there seemed to know when it was going to be announced publicly.

[TheBert 0]

the sale has already been completed for far less that what the original asking price was

...Which runs counter to all those reports that Mission and other buyers dropped out cause the bidding was upwards of $200 million? I'd love to know what the final price is.

[Rustyhole 1]

Nike made a mistake (hindsight 20/20) on betting that amatuer hockey would balloon because of NHL expansion and inline popularity. No doubt, the new owner(s) will NOT make that mistake again. I just hope the price of high end skates doesn't continue to skyrocket. Addidas/Reebok & NewBalance will likely want the trend to continue. :(

[shooter27 116]

the sale has already been completed for far less that what the original asking price was

...Which runs counter to all those reports that Mission and other buyers dropped out cause the bidding was upwards of $200 million? I'd love to know what the final price is.

There is a decent chance that the final sale price will never be publicly released, especially if the number would prove embarassing to Nike. Given the size of Nike as a whole this would probably not hit the threshold of being material to the company and therefore not require a regulatory filing.

This isn't to say that some people here may not know what the price is, I'm just talking about the numbers going into the public domain.

[shooter27 116]

Being that Nike is publicly traded, the information will come out.

There is a decent chance that the final sale price will never be publicly released, especially if the number would prove embarassing to Nike. Given the size of Nike as a whole this would probably not hit the threshold of being material to the company and therefore not require a regulatory filing.

This isn't to say that some people here may not know what the price is, I'm just talking about the numbers going into the public domain.

For any public company doing any type of deal, there is a materiality aspect to what needs to be disclosed publicly and what does not. There are a number of criteria that define materiality that need to be met that include the size of the deal and the size of the revenue as it relates to the publicly traded company. If the deal is not deemed to be material to Nike (which given the size of Nike is entirely possible) then they will not be required to release the the final purchase price. They very well may still do so, but they will not be bound to do so.

[sdcopp 1]

they'll have to report it somewhere, it just matters how much coverage it's given. It may only be a small blurb in a yr end statement for the share holders, but it'll be out there. You think any company can't disclose every little thing after Enron?

[shooter27 116]

they'll have to report it somewhere, it just matters how much coverage it's given. It may only be a small blurb in a yr end statement for the share holders, but it'll be out there. You think any company can't disclose every little thing after Enron?

I know for a fact that they do not have to. I work as an M&A banker and I have worked on deals this size and larger for public companies where the final purchase price was never disclosed. As I said, it depends how material the asset being sold is to the overall business of the company. So to answer your question, yes companies can opt not to disclose items that are not material to the business. The materiality definition has changed since Enron, but it still exists.

I wanted to edit this to include the fact that I am not saying Nike won't disclose the purchase price, all I am saying is they may not be required to.

[shooter27 116]

Oh, they will. Given their past reportings, especially on the recent sale of Starter and the recent acquisition of Umbro, they will.

Definitely possible, I haven't worked with Nike in particular so I don't know how they feel about disclosing things. I will however note that Starter and Umbro are not comparable situations because both were public companies being taken under the Nike umbrella. So releasing that information was required because Starter/Umbro were public not because Nike was public.

Again, I think Nike probably will release the purchase price because it is interesting to a number of people but given that the fact that NBH revenue is 0.9% of Nike's total revenue and a $200 mill purchase would be 0.7% of Nike's Market Cap. then it may not be material to Nike.

[KBO25 0]

Sorry guys, I've been holding out. I'm buying NBH. Free Nike ID for every MSH'er!!!!