A Closer Look at the J. Crew Group Buyout Offer

World Market Pulse submits:

Analysts and experts on Wall Street have expressed surprise at the timing of J. Crew Group (JCG)'s agreeing to a $2.86 billion buyout amid sliding retail sales, with some comment centered on how such a fourth-quarter retail deal being unusual: Typically a buyer tends to overlook a retail company's holiday season performance, while the seller obviously wants to make sure it's getting the best justified price. On the flip side, however, the retailer is allowed to solicit better offers until this coming Jan. 15; if nothing materializes by then, it is bound to close the deal in the first half of fiscal 2011.Under the proposed deal, TPG Capital Group and Leonard Green & Partners LP will buy the company for $43.50 per share in cash, or about $3 billion, a 29% premium to its average price over the past month and a

By admin posted about 1 year ago

Filings 0 | Comments 0 | Views 47