Maidenform Brands Inc., based in the Iselin section of Woodbridge, announced today its shareholders have approved the proposed purchase of the company by North Carolina-based Hanesbrands Inc. for $575 million.
Stockholders voted at a special meeting today to allow the proposed merger to proceed, in which Hanes will acquire all outstanding shares of Maidenform common stock for $23.50 per share in cash.
According to the announcement, an overwhelming majority of votes cast favored the transaction. Votes were tallied from shareholders of the company's common stocks as of August 23, the record date for the special meeting.
Subject to satisfaction or waiver of the remaining customary closing conditions in the merger agreement, the transaction is expected to close on October 7, 2013, at which time Maidenform will cease to be traded on the NYSE.
The Federal Trade Commission notified Maidenform at the end of August of an early termination to the waiting period mandated by the Hart-Scott-Rodino Antitrust Improvements Act of 1976.
The deal, first announced in July, was announced following a 30 percent year-over-year drop in income during the period from April to June, first reported in early August by the Associated Press.
A Form 10-Q filed with the U.S. Securities and Exchange Commission on August 7 referred to two class action suits brought by shareholders against Maidenform, alleging failure to maximize value to shareholders and that the proposed merger improperly favors Hanes.
The company declined to comment on whether it expects any further regulatory hurdles in closing its acquisition by Hanes.