The buying and selling of retail stores is always interesting to me. New York-based private equity firm Sycamore Partners has a new acquisition target: teen retailer Express Inc. Thursday the firm sent a letter to the board of Express indicating that it has taken a 9.9 percent stake in the retailer and would like to acquire the balance of the shares it does not already own.
Sycamore Managing Director Stefan Kaluzny said they would like to conduct due diligence on the retailer to “determine a definitive valuation of the company,” and then within 30 days after getting the OK to do the review, submit a binding, fully financed proposal for the balance of the shares.
Sycamore has access to available funds and manages over $3.5 billion in assets. At the close of trading yesterday, Express shares fell 2.6 percent to $13.55, but then climbed 19.9 percent to $16.25 after the SEC filing became public. We’ll see what happens.
Source and Photo:WWDSee the Top Ten Summer 2016 Trends for Women Over 40