Shares of Express Inc. rose more than 20 percent in the aftermath of Sycamore Partners’ disclosure Thursday that it had acquired a 9.9 percent stake in the retailer and is interested in buying the company outright.
The stock was up 21.4 percent to $16.45 as trading ended for the week, the greatest advance by far of any of the U.S.-based fashion, retail and beauty stocks monitored by WWD.
The S&P 500 Retailing Industry Group, however, closed out the week with its fifth consecutive decline, pulling back 0.2 percent to 875.21, 2.3 percent below its closing mark last Friday and off 6.9 percent for the year.
The Dow Jones Industrial Average and S&P 500 advanced 0.3 percent each, to 16,775.74 and 1,936.16, respectively. Their declines for the week — 0.9 and 0.7 percent — were the sharpest in two months. Still, the Dow is up 1.2 percent for the year and the S&P is ahead 4.8 percent.
Sycamore’s play for Express allowed most teen and youth retailers to register gains for the day and helped those with gains in the WWD sample outnumber those with declines by about a two-to-one margin.
Shares of Aéropostale Inc, were up 2.4 percent to $3.42 while American Eagle Outfitters Inc. moved ahead 2.3 percent to $11.31 and Abercrombie & Fitch Co. advanced 1.6 percent to $41.71.
Outside the teen sphere, Lands’ End Inc. shares continued the upward movement which accompanied the firm’s strong report on first-quarter earnings Thursday, closing at $30.50, ahead 5.9 percent.
Lululemon Athletica Inc., shares of which declined 15.9 percent Thursday following lower first-quarter profits and reduced second-quarter guidance, made back some ground and gained 1 percent to $37.61.
Among those in decline, Inter Parfums Inc. was off 1.5 percent to $27.75 and Destination XL Group Inc. fell the same percentage to $5.08.
Europe’s major indices were largely down at the end of the week’s trading.
The FTSE 100 in London led the decliners, down 1 percent to 6,777.85, followed by the DAX in Frankfurt, which fell 0.3 percent to 9,912.87, while the CAC 40 in Paris was down 0.2 percent to 4,543.28. The FTSE MIB in Milan edged up 0.01 percent to 22,165.97.
All four indices were down for the week — ranging from London’s 1.2 percent dip to Milan’s 0.6 percent contraction. For the year, all have advanced, led by Milan’s 16.9 percent improvement and Paris’s 5.8 percent rise.
Fashion, luxury and retail stocks put on a mostly lackluster performance, registering some significant declines. Bank of England governor Mark Carney’s speech at London’s Mansion House Thursday led to investor caution when he suggested a rise in interest rates “could happen sooner than markets currently expect.” The U.K. Web site This is Money suggested investors were concerned a rise in interest rates could lead the pound higher, creating difficulties for U.K. retailers that operate outside the country.
Among those that fell the most were Asos, down 5.8 percent to 28.99 pounds; French Connection, which lost 4.6 percent to 67 pence; Ted Baker, which fell 2.8 percent to 18.70 pounds, and Next, down 2.7 percent to 62.50 pounds.
The few stocks in the fashion sector that rose included Gemfields, up 1 percent to 51 pence; Prada, up 0.3 percent to 54.65 Hong Kong dollars, and Unilever, which rose 0.3 percent to 32.26 euros.
The pound traded for $1.68 against the U.S. dollar, while the euro changed hands for $1.35 and the Hong Kong dollar for 13 cents.
EXCLUSIVE: Two and half months after John Targon, cofounder and codesigner of Baja East, was hired as creative director of the contemporary division at Marc Jacobs, he has left the company, WWD has learned. Marc Jacobs International, which is owned by LVMH Moët Hennessy Louis Vuitton, confirmed Targon’s departure in a statement: “John Targon is a talented designer and we appreciate the work he has done here. Ultimately working together did not make sense for the brand and we wish him the best.” Read the story by @jessiredale, link in bio. #wwdnews
@theluxurycollection is officially launching a collection, tapping Sofia Sanchez de Betak for the capsule. Over 30 styles will be featured in the Chufy x The Luxury Collection, debuting next month at Bergdorf Goodman, The Webster, FiveStory and more. De Betak, known as “@chufy,” drew inspiration for the collection from her trips to Japan in the past year #wwdfashion
@lhd, founder and CEO of @thewebster, has teamed up with @lebonmarcherivegauche for the European launch of her ready-to-wear line, LHD. The launch will come with an exclusive pop-up opening today that’s set to run through May 20. Located on the second floor, it carries her debut Miami-themed resort collection, launched in November as see-now-buy-now. #wwdfashion
@longchamp, which marks its 70th anniversary this year, just opened its biggest U.S. store on Manhattan’s Fifth Avenue. On the lower level there’s a floor-to-ceiling display of the brand’s iconic Le Pliage bag – in all of its different colors, shapes and sizes. Customers can also have their product personalized in-store by imprinting names, initials or emblems. #wwdfashion (📷: @ericmtownsend)
“Whenever I’m in that place of sound and music, I don’t have fear or nervousness…This album has a lot of themes of courage and boldness and I want to be the soundtrack for people’s lives. I’ll be so happy if [my songs] evoke strength in people, which I know music has done for me,” says @kimbramusic of her newest album “Primal Heart.” The New Zealand-born singer sat down with WWD to talk about her music, newest tour and connecting with hear fans — read more on WWD.com #wwdeye (📷: @jilliansollazzo)
Luxury handbag resale company @rebagofficial is planning to sell a rare collectible for $70,000: the @hermes White Crocodile Himalayan Birkin. The exclusive Birkin sold for about $100,000 in 2008, when @davidbeckham bought one for his wife @victoriabeckham to add to her collection. Read more about the rare Birkin on WWD.com #wwdaccessories
With her costume pearl necklace and what-you-see-is-what-you-get style, Barbara Bush, who died Tuesday at age 92, was a straight-shooter from start to finish.
Born Barbara Pierce in New York City, Bush served as the 37th first lady, as well as the country’s second lady from 1981 to 1989. In addition to being part of the longest presidential marriage — 73 years — Bush also had the unlikely distinction of having one son, George W., become the 43rd president and another son, Jeb, run unsuccessfully in 2016. Having served as second lady during the Reagan administration’s two terms and lived all over the world during her own husband’s ascending political career, Barbara Bush made it clear that literacy — not fashion — was her priority. Read more from Rosemary Feitelberg’s obituary on the late First Lady in WWD.com, link in bio. #barbarabush #wwdnews
Western and ’90s trends have influenced denim for fall 2018. Think raw, dark and coated jeans mixed with bold prints and tough leather. #trendtuesdays #wwdfashion (Styled by @thealexbadia;📷: @ryanplett)