Essilor International SA is buying Costa Inc. (Nasdaq: ATX) for about $270 million.
Lincoln, R.I.-based Costa, formerly A.T. Cross & Co., designs and sells sunglasses under the Costa and Native eyewear brands. The company sold the accessory division to Clarion Capital Partners LLCfor $60 million in July, saying it planned to focus on expanding the optical group.
The company’s sunglasses were originally designed for fishermen.
The purchase price works out to $21.50 per share. Before the deal was announced, on Nov. 7, Costa’s shares closed at $19.91.
If the deal does not go through, Essilor will owe a termination fee of $8.9 million. The deal is expected to close in early 2014.
Essilor, headquartered in Charenton-le-Pont, France, makes eyeglass lenses. In July, the company agreed to buy full control of Transitions Optical from PPG Industries Inc. for $1.73 billion.
D.A. Davidson & Co. is serving as Costa’s financial adviser, while Weil Gotshal & Manges LLP partners Joseph Basile, Annemargaret Connolly, Raymond Gietz, Chayim Neubort, Jeffrey Osterman, Paul Wessel and Laura Wilkinson and provided legal advice.