November 3, 2020 - Montreal-based manufacturer Dorel Industries Inc., with 8,000 employees and about $2.6 billion in sales last year, has reached an agreement in principle that will see the company taken private by a buying group according to a press release.
Led by Cerberus Capital Management and the Schwartz family that founded the company in the 1960’s and controls the company’s multiple-voting shares, Dorel has operations in 25 countries and is valued at $500 million reports CBC.ca.
Under Dorel Sport, the company’s bicycle brands include Cannondale, Schwinn, GT, Mongoose, Caloi and IronHorse. Dorel reported a spike in demand for all types of bicycles during the second quarter of 2020 and claims it is not in financial difficulty.
In December 2019, the family shareholders informed Dorel’s Board of Directors of their intention to initiate a process to seek a partner for a potential privatization of Dorel.
CBC.ca report here
Canada News Wire report here.
Read the company press release here.
