Billabong’s chairman Ted Kunkel has defended the company’s decision made earlier this year to reject the proposed offers for a takeover.

At the company’s annual general meeting, Kunkel said it was a unanimous view that the proposals made by TPG were well below the value of the company. 

Initially in February 2012 TPG had offered the company $3.00 cash per share, which was later increased to $3.30 cash per share.

“The Board was unanimous in its view that, with the information that it had at the time, it did not believe TPG’s proposed price reflected the fundamental value of the Company in the context of a change in control and discussions between the parties ceased,” Kunkel said.

By July, the company was ready to engage with potential buyers. TPG returned again but with an offer of only $1.45 cash per share. A second party also approached the company with the same offer in September.

However, following the due diligence process both suitors pulled out without details of why it happened.

“I want to be clear that following this due diligence process the Company was not made aware of any information that caused it concern or of which it was unaware,” Kunkel said.

As a result, Billabong is left expecting to deliver earnings before interest, tax, depreciation and amortisation (EBITDA) in the range of $100 million to $110 million for the financial year ending 30 June 2013.

Meanwhile, the company will carry on in implementing its Transformation Strategy that will look at the company’s IT infrastructure, supply chain, retail stores, improving communication and reducing the number of styles and old stock, newly appointed CEO Launa Inman said.