Billabong International’s share price fell by as much as 22% on no official news before being placed in a trading halt today. Either someone knows something they shouldn't or they think they know something. This information most likely relates to the odds of bids from VF Corp/Altamont Capital and Paul Naude/Sycamore Partners falling over. Rumours abound; some suggest that Altamont Capital is struggling to finance its portion of the bid; others suggest the price fall was prompted by automatic stop-losses on derivative products. The Wall Street Journal reports it has spoken with 'people familiar with the deal' and the bids are, apparently, still on the table. At the moment this is all speculation. Although it's likely the share price would fall further if both bidders pulled out.
Billabong has placed a deadline on potential bids of 28 March 2013 so, either way, we’ll know shortly. Billabong should officially respond to the share price fall later today or tomorrow.