UPDATE 1-Zumiez not to pursue West 49 deal; Billabong wins

* Zumiez drops out of the race

* West 49 set to be acquired by Billabong International
(Adds details of announcements)

July 14 (BestGrowthStock) – U.S. teen apparel retailer Zumiez Inc
(ZUMZ.O: ) said it is no longer interested in buying Canada’s
West 49 Inc (WXX.TO: ) due to disagreements on the terms of the
due diligence process, handing a victory to rival bidder,
Australia’s Billabong International Ltd (BBG.AX: ).

In a separate release, West 49 confirmed it would now favor
the company’s acquisition by Australian clothing retailer
Billabong International after Zumiez expressed its
unwillingness to proceed with a deal.

On July 9, Zumiez had informed West 49 that it was prepared
to top Billabong International’s offer for the company.

Australian clothing retailer Billabong had offered to buy
West 49 for C$83.2 million ($80.70 million), or C$1.30 per
share, in cash, aiming to expand in the North American market
for surfing and skateboarding gear.

Zumiez was supposed to make an offer in excess of
Billabong’s bid of C$1.30 per share.

Zumiez and West 49 are similar multi-brand action sports
retailers and both sell Billabong products.

West 49 said its board supports the Billabong transaction
and recommended the company’s shareholders to vote in favor of
the deal.
($1=1.031 Canadian Dollar)
(Reporting by Sakthi Prasad in Bangalore; Editing by
Muralikumar Anantharaman)

UPDATE 1-Zumiez not to pursue West 49 deal; Billabong wins