PENTLAND TO REDUCE REEBOK &lt;RBK> HOLDINGS
  Pentland Industries PLC said it report
  a substantial capital gain from the sale of part of its
  holdings in Reebok International Limited, which will cut its
  stake in Reebok to 32.2 pct from 36.7 pct.
       It said Reebok filed a registration statement with the
  Securities and Exchange Commission for the offering of six mln
  shares of Reebok common. Reebok will sell three mln shares and
  Pentland will sell 1,404,866 shares, reducing its stake in
  Reebok to 18.1 mln from 19.5 mln shares.
      After the offering, Reebok will have 56.1 mln shares shares
  outstanding.
      Pentland said the amount of the capital gain from the sale
  depends on the offering price for the Reebok shares to be
  negotiated between it, Reebok, and the other selling
  stockholders who will offer about 1.6 mln shares of Reebok
  common, and the underwriters.
      Pentland said proceeds from the offering will be used by
  Reebok to retire bank debt incurred in its acquisition of AVIA
  Group for about 180 mln dlrs. Is said that afterwards, Reebok
  will have bank credit lines available for general corporate
  purposes, including possible acquisitions.
      Reebok's stock was selling at 45-1/2, up 1/8. At that
  price, the 1.4 mln Reebok shares Pentland will sell are worth
  about 64 mln dlrs and the three mln shares Reebok will sell are
  worth about 136.5 mln dlrs.
      Pentland said it will use proceeds to fund growth and
  possible acquisitions.
      Pentland said 4,500,000 shares of Rebbok will be offered in
  the U.S. by a syndicate led by Kidder, Peabody and Co Inc and
  1,500,000 shares will be offered outside the U.S. by an
  international syndicate led by Kidder.
      It said the U.S. underwriters have been granted an option
  to buy from certain selling stockholders up to an additional
  900,000 shares to cover overallotments. Pentland said it has
  not chosen to participate in this over allotment.
      Pentland said that as soon as the date and price of the
  offering have been determined it will release further details.
      It said it expects the offering to close in May.
  

