Boardriders acquires Billabong in $155m takeover bid

Iconic Australian surfwear brand Billabong was sold to rival Boardriders on Friday as part of an estimated $155m takeover bid aimed at turning around the Queensland-based group after turning a profit in just one of the last five years.

Boardriders, formerly known as Quiksilver, picked up Billabong and its eight smaller imprints as it struggled to recover from its $58m loss in 2017, more than triple the amount the firm lost a year earlier.

In 2012, Billabong rejected an $850m takeover bid from private equity group TPG Capital, wrote off the value of many of its key brands, including cutting the value of the Billabong brand itself to zero in 2013 and declared bankruptcy in 2015.

"Billabong's brands' great strength is their authenticity and heritage," said chief executive Neil Fiske.

"I'm confident those qualities will not simply be protected but enhanced by a new organisation that will have the scale and financial security to continue to support and build them as we enter into a new and dynamic retail environment," he added.

As of 1620 GMT, shares had gained 2.60% to AUD 0.985 per share.