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K2 Inc. Announces the Acquisition of Three Leading Companies in Winter Sports and Outdoor Apparel

 

CARLSBAD, Calif.--(BUSINESS WIRE)--June 16, 2004--K2 Inc. (NYSE:KTO):

 

-- Volkl Sports -- premium skis

 

-- Marker Group -- leading ski bindings

 

-- Marmot Mountain Ltd. -- premium outdoor technical apparel and equipment

 

K2 Inc. (NYSE:KTO) announced the signing of three definitive acquisition agreements in which Volkl Sports Holding AG, The Marker Group and Marmot Mountain Ltd. would become wholly owned subsidiaries of K2. The transactions, which are subject to regulatory review and other customary conditions, are expected to be completed by mid-July, 2004. K2 indicated that it expects the transactions to be accretive to its earnings in 2004 and subsequent years.

 

'The Volkl and Marker acquisitions are very significant in that they continue our strategy of building a truly global winter products platform for K2,' said Richard Heckmann, K2's chairman and chief executive officer. 'The ski business is increasingly driven by a few global players with integrated ski and binding systems, and this transaction will solidify K2's leading position on a global basis. K2, Volkl and Marker are leading authentic brands and together they will constitute the most unique and powerful winter products platform in the industry today. The addition of Volkl and Marker's strong European management team gives us a unique opportunity to combine our significant European operations for the benefit of both customers and employees. Volkl's outstanding heritage of German engineering excellence will be a strong addition to our worldwide product offering in the ski industry as will their superb manufacturing facilities.'

 

Mr. Heckmann continued: 'Equally exciting is the Marmot acquisition, which positions K2 with a scaleable platform in the outdoor technical apparel market. One of K2's objectives has been to build a premium technical apparel platform that would complement its reputation for performance products in sporting goods. Combined with the recently announced acquisition of Ex Officio, we are confident that we will be able to successfully grow these businesses and expand K2's presence in technical outdoor apparel. With 35 major brands across many of the major sporting goods markets, the opportunity to combine the technical high-end apparel expertise of Marmot and Ex Officio with K2's leading equipment brands and broad retail distribution will present internal growth possibilities for some time.'

Posted (edited)

Congrats on silver status! :)

 

Also, I don't really pay attention to racing/olympics, but after searching for anyone who used them, I didn't find any.

Edited by ERS
Posted (edited)

Yeah.. K2 seems to be more recreational skiing-oriented, except for their Factory Team (twintip line), which has two of the best freeskiiers ever.

Edited by ERS
Posted

Yeah K2 has more of the bump skiers on there gear than racers. Anyway we will have to see if this changes anything to get high quality GS Skis ;)

Posted

Yeah, K2 beat out Hart as the best bump ski and it's what Mosley used for his 360 Iron Cross Mute Grab to win at Nagano in '98. They also have a top aerialist ski...

 

But they signed Phil and Steve Mahre to headline their race product. Nothing like pulling out musty old athletes to hawk your high tech race boards. I've seen just about every World Cup race in the last four years and can't recall a pair of K2's, although lots of junior racers have them.

Posted
Yeah K2 has more of the bump skiers on there gear than racers.  Anyway we will have to see if this changes anything to get high quality GS Skis ;)

Yeah, maybe K2 will replace defective GS skis! :angry:

  • 2 weeks later...
Posted
Interesting acquisition.  I would have thought Volkl/Marker would have swallowed up K2.  ERS, do any of our Olympic athletes use K2's?

Watched a video last night of a 1999 World Cup GS at Beaver Creek. Bode was on K2's. He DNF'd in the second run, BTW.

  • 2 months later...
Posted

K2 is now, i believe, the second largest sporting goods manufacturer. nowhere near what volkl/tecnica/marker has, or atomic either. K2 owns shakespeare fishing rods, rawlings baseball products, as well as their own inline skate, bike, and snowboard divisions. K2's race skis are made to be more skiable than other companies, geared toward lighter skiers. they arent nearly as stiff longitudinally as a volkl, dynastar, or everyone here's beloved atomics, but since it's a metal laminate constuction (very rarely available to the general public), they are very torsionally stiff, therefore hold an edge just as well with far less effort.

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