Shares of Purple Innovation (NASDAQ: PRPL) shot up in pre-market trading on Monday as Coliseum Capital Management LLC put forward a “non-binding proposal” to acquire all outstanding shares of PRPL for $4.35 per share in cash.
Coliseum estimates that it would have to pay $225.6 million to acquire all outstanding common stock of PRPL. Coliseum currently owns a 45% stake in the mattress manufacturing company.
Coliseum stated in its SEC filing that this offer was conditional upon the “approval of, a special committee of independent and disinterested members of the Board (the “Special Committee”) and (b) subject to a non-waivable condition requiring approval by the affirmative vote of a majority of the shares of Common Stock not owned by the Reporting Persons or other interested parties.”
