Purple Innovation Special Committee Adopts Rights Plan In Response To Coliseum Proposal

(RTTNews) - Purple Innovation, Inc. (PRPL) said its Board, in response to an unsolicited and non-binding proposal from Coliseum Capital Management, LLC to acquire all of the outstanding capital stock of the company it does not already own for $4.35 per share in cash, has formed a special committee of independent and disinterested directors and the Special Committee has approved the adoption of a limited-duration shareholder rights plan.

The Special Committee has declared a distribution of one right for each outstanding share of common stock. The Rights Plan is effective immediately and will expire on September 25, 2023. The record date for the Rights is October 5, 2022.

Purple Innovation noted that the Special Committee has not reached any conclusion as to the advisability or feasibility of a potential transaction. Coliseum beneficially owns approximately 45% of Purple's outstanding shares.