R.G. BARRY ACQUIRES VESTURE CORPORATION, MAKER OF 'LAVA BUNS'
PICKERINGTON, Ohio, June 22 /PRNewswire/ -- R.G. Barry Corporation (AMEX: RGB) said today that it has agreed to acquire Vesture Corporation, Randleman, N.C., a privately-owned manufacturer and marketer of microwave heated comfort care products, for R.G. Barry stock. Terms of the acquisition were not disclosed. R.G. Barry said the acquisition will boost its strategy to become the dominant domestic supplier of microwave heated comfort care products in 1995. Based upon Vesture's projections for the balance of the year, the acquisition is expected to add 5 cents to 7 cents a share to R.G. Barry's 1994 earnings before giving effect to the 4 for 3 stock split. Vesture will operate as a wholly-owned subsidiary of R.G. Barry with current management remaining in place. "Vesture is a well-managed, profitable company. Since its founding in 1987, it has earned an excellent reputation for high quality, innovative microwave heated products. Byron Owens and Gary Hyatt, Vesture's founders, are experienced, talented executives. The synergistic impact of their product development expertise and marketing skills will have a strong positive effect on our ability to profitably grow the thermal comfort products business and dominate the market," said Gordon Zacks, chairman, R.G. Barry Corporation. Vesture's major products are Lava Buns stadium cushions, Lava Pack heating pads, Lava Booties, and heated bread baskets. Vesture's channels of distribution complement R.G. Barry's with strong distribution in the specialty Catalog channel and Drug chains. -0- 6/22/94 /CONTACT: Dennis Drummond, V.P. Communications (media), or Richard L. Burrell, Senior V.P. Finance (investors), of R.G. Barry Corporation, 614-864-6400/ (RGB)
CO: R.G. Barry Corporation; Vesture Corporation ST: Ohio, North Carolina IN: HOU SU: TNM
KL-AR -- CL013 -- 9090 06/22/94 14:12 EDT
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|Date:||Jun 22, 1994|
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