By Connor Hart
Medical-apparel maker Figs rejected a takeover offer from private-equity firm Story3 Capital Partners that valued the company at more than $1 billion.
Figs said in a Securities and Exchange Commission filing that it's confident in its standalone plan and prospects, resulting in its decision to reject Story3's offer. The company's board informed Story3 of the decision in a letter Thursday.
The company's shares fell 2.5% to $5.97 in after-hours trading.
The decision comes after Story3 last month offered to pay $6 a share for all outstanding common shares of Figs that it doesn't already own. At that time, the firm and affiliated funds owned a little over 1% of the company's stock.
Fortress Investment Group, one of Story3's strategic limited partners, was prepared to provide the debt financing for the deal, it previously said.
Figs is a direct-to-consumer healthcare-apparel maker known for its scrubs. The business was started in 2013 and later went public in 2021, commanding a valuation of more than $4.5 billion at the time.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
January 16, 2025 17:10 ET (22:10 GMT)
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