 |
| Archives >> |
| Motorsports Authentics Completes Merger With Action Performance |
|
Friday December 9, 6:30 pm ET |
|
International Speedway and Speedway Motorsports Joint Venture Becomes Leader in Motorsports Licensed Merchandise DAYTONA BEACH, Fla. and CHARLOTTE, N.C., Dec. 9 /PRNewswire-FirstCall/ -- International Speedway Corporation (Nasdaq: ISCA - News; OTC Bulletin Board: ISCB - News; "ISC") and Speedway Motorsports Incorporated (NYSE: TRK - News; "SMI") today announced their 50/50 joint venture, which conducts business under the name Motorsports Authentics, has completed a merger with Action Performance Companies Inc. (NYSE: ATN - News; "Action"). The transaction, first announced on August 30, 2005, was approved by Action´s shareholders on December 1, 2005. The acquisition was structured as a merger of a wholly-owned subsidiary of Motorsports Authentics LLC into Action. Combined with the September 8, 2005 acquisition of the net assets of Team Caliber, Motorsports Authentics is now the leader in design, promotion, marketing and distribution of motorsports licensed merchandise. Motorsports Authentics has licenses for exclusive and non-exclusive distribution with the top teams competing in NASCAR and other major motorsports series. Its products include a broad range of motorsports-related die-cast replica collectibles, apparel, gifts and other memorabilia, which are marketed through a combination of mass retail, domestic wholesale, trackside, international and collector´s club distribution channels. "We are pleased to close the Action acquisition and look forward to continuing the initiatives put in place to improve the financial performance of its business," commented Marcus G. Smith, Executive Vice President of National Sales and Marketing for SMI. "Over the longer term, we believe Action will be better positioned to capitalize on the expanding popularity of NASCAR and other forms of motorsports. We continue to believe it is strategically important for NASCAR racing and other motorsports to have strong, well-run companies designing, marketing and distributing racing merchandise, and the closing of the Action transaction is a significant step in that process." Heidrick & Struggles, one of the most highly-respected executive consulting firms in the world, has been hired to assist in the search for a new President to lead Motorsports Authentics and oversee the Action and Team Caliber brands. The Motorsports Authentics Board of Managers has interviewed several very talented individuals and expects to announce the new President within the next several weeks. Until the President is announced, David Riddiford, Action´s Chief Financial Officer, combined with several key business leaders from the ISC/SMI integration team, will oversee the initial transition of Action into Motorsports Authentics under the direction of the Motorsports Authentics Board of Managers. "Action´s intellectual property rights, combined with those acquired from Team Caliber earlier this year, allow Motorsports Authentics to execute its cohesive long-term motorsports merchandising strategy," said Lesa France Kennedy, President of ISC. "Motorsports Authentics now has licenses for the leading teams and competitors in NASCAR. It is our goal to ensure that our products are properly marketed through key distribution channels, which will help promote NASCAR racing and other motorsports while creating natural business synergies, particularly during event weekends. Lastly, we welcome Action´s employees to Motorsports Authentics, and look forward to their continued contribution to the success of this joint venture." Upon consummation of the merger, Action´s outstanding common stock was cancelled and holders will receive $13 in cash in exchange for each share of Action common stock. As soon as practicable, American Stock Transfer & Trust Company (the paying agent) will send a transmittal letter to each holder of Action common stock. The transmittal letter will have instructions with respect to exchanging Action common stock for the merg |
| Customer Service |