Chairman/CEO Nab USANA Health Sciences (USNA) Around 52-Wk Low
More News related to USNA
- USANA Health Sciences Announces Recommendation by Special Committee of Board of Directors that Shareholders Reject the Amended Tender Offer
- Gull Holdings Increases USANA Offer to $28.00 Per Share, Formally Extends to July 14, 2008
- USANA's BiOmega(TM) Fish Oil Supplement Approved by ConsumerLab.com
- Gull Holdings Reaffirms Offer to Purchase Publicly-Held Shares of USANA Health Sciences, Inc. at $26.00 per Share
- USANA Health Sciences Announces Recommendation by Special Committee of Board of Directors That Shareholders Reject Tender Offer
USANA Health Sciences (Nasdaq: USNA) shares jump 23.4% today after a holding company, Gull Holdings, which is controlled by USNA's current Chairman/CEO, offers to acquire it for $26 per share.
Gull Holdings and the other participants in the offer currently own or control approximately 68 percent of USANA common stock. The purchase price for the offer is expected to be funded through debt financing, and Gull Holdings has obtained a commitment from a major institutional lender for such financing.
However, Gull Holdings and the current Chairman may be getting off cheap, considering shares of USANA were hovering around a 52-wk low (range $18.18-$51.50). The stock has dropped approx. 55% from the $45.50 close on Feb. 5, 2008 to yesterday's closing price of $20.83.
The company has had mounds of negative news in the past few months including: The Fraud Discovery Institute (FDI) releasing documented evidence that the entire Usana Medical Advisory Board secretly owns large independent Usana multi level marketing distributorships; Several States and SEC formal/informal investigations into the company; Q1 earnings and revenue warnings; and a few brokerage downgrades.
USANA Health Sciences, Inc. (USANA) develops and manufactures science-based nutritional and personal care products. The Company operates through two business segments: Direct Selling and Contract Manufacturing. Under the direct selling segment, the Company sells products from two primary product lines: USANA Nutritionals, which includes supplements and functional foods, and Sense—beautiful science (Sense), a line of skin and personal care products. The Company distributes and sells its products through a network marketing system, a form of direct selling, using independent distributors that it refers to as Associates.[SM]
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