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Private equity firms to buy Eddie Bauer

14th Nov 2006, 16:29 GMT

Two private equity firms have agreed to buy Redmond-based Eddie Bauer Holdings Inc. for $286 million in cash, the clothing chain said Monday. Under terms of the deal, a holding company owned by affiliates of Sun Capital Partners Inc. and Golden Gate Capital will pay $9.25 per share in cash and assume $328 million in debt. The offer represents a nearly 5 percent premium over the $8.85 closing price of Eddie Bauer shares on Friday.

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