Anaheim-based mall retailer Pacific Sunwear of California Inc. has headed off a looming board fight with takeover-minded shareholder Adrenalina Group of Miami.
Pacific Sunwear said Friday that Adrenalina, which runs clothing and sports equipment stores in Florida, withdrew its four nominees for Pacific Sunwear’s board, ending a proxy fight.
The withdrawal comes after a meeting between Adrenalina Chief Executive Ilia Lekach and independent directors at Pacific Sunwear, according to the company.
There was no word on any formal agreement between the two sides.
The two sides had an “open and frank discussion,” Pacific Sunwear lead independent director Peter Starrett said.
The company heard “ideas and suggestions” from Lekach, he said.
Adrenalina has made several offers to buy Pacific Sunwear, the last one for $330 million in October. All were rejected.
Some analysts have downplayed the Adrenalina offer, questioning whether the company has the financing to pull off an acquisition.
Pacific Sunwear is much larger than Adrenalina, though the company is struggling during the retail downturn. Pacific Sunwear’s shares are down about 90% in the past year with a recent market value of $110 million.
