Certain holders of Golf Galaxy's common stock have entered into a voting agreement with Dick's where they have agreed to vote 19.9 percent of the outstanding common stock in favor of the merger at the special shareholders meeting.
Golf Galaxy currently operates 61 stores in 24 states, ecommerce websites and catalog operations, and generated $250 million in sales during the last 12 months ended August 26, 2006.
Dick's management anticipates that the acquisition will be accretive in fiscal 2007. Earnings guidance will be provided with Dick's year end earnings release in March in connection with Dick's standard practice.
"Golf Galaxy is a rapidly growing, profitable company which we believe is the best in the specialty golf category. The passion with which Dick's Sporting Goods and Golf Galaxy associates serve the enthusiast golfer make this transaction a big win for shareholders and golf enthusiasts alike," said Edward W. Stack, Chairman and CEO of Dick's Sporting Goods.
Peter J. Solomon Securities Company Limited provided financial advisory services to Dick's Sporting Goods in connection with the transaction. Piper, Jaffray & Co has provided financial advisory services to Golf Galaxy in connection with the transaction.
Dick's Sporting Goods Inc
marketing@alchempro.com
