Cataloger/retailer Eddie Bauer isn’t going to become part of Golden Gate Capital’s catalog stable after all. On Feb. 8 shareholders of Redmond, WA-based Bauer voted against the proposed sale of the company to Golden Gate and another private equity firm, Sun Capital Partners.
At the special meeting of shareholders, 44% of the outstanding shares voted for the merger; about 37% voted against it. The proposal required more than 50% of the votes to approve of the deal for it to proceed. Golden Gate and Sun Capital had agreed in November to buy the $1.75 million Bauer for $9.25 a share, or $614 million, including $328 million in debt.
According to a Bauer statement, the company will continue to operate as a publicly traded business and “will be evaluating appropriate next steps.”