Private equity firm Sycamore Partners has a new acquisition target in mind: teen retailer Express Inc.
The New York-based private equity firm on Thursday 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, through its managing director Stefan Kaluzny, said it 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 also noted that it has access to available funds and manages over $3.5 billion in assets. Sycamore earlier this week said it just closed on commitments of $2.5 billion for its second fund. The first fund closed in 2012 with $1 billion in commitments from investors.
A spokeswoman for Express could not be reached for comment.
At the close of trading Thursday, Express shares fell 2.6 percent to $13.55, but then climbed 19.9 percent to $16.25 after the SEC filing became public.
In a Schedule 13-D filing with the Securities and Exchange Commission on Thursday, Sycamore said it had invested through affiliates $106.2 million, inclusive of brokerage commissions, to acquire the 8.3 million shares of common stock of Express, totaling a 9.9 percent stake, in a number of transactions on the open market.
Express was once part of the portfolio of Leslie Wexner’s Limited Brands. Private equity firm Golden Gate Capital acquired a partial stake in the company. The teen retailer went public in 2010. Both Golden Gate and Limited no long own stakes in Express.
@zacposen's go-to holiday gift? Cookies! "I'll usually bake cookies and send them as a gift," said the designer, who recently released his cookbook "Cooking With Zac: Recipes from Rustic to Refined." Get the recipe for his Brown Butter-Chocolate Chip Cookies via link in bio 🍪🍪🍪 #wwdeye #cookingwithzac
For @monsemaison’s pre-fall 2018 collection, Fernando Garcia and Laura Kim honed in on the brand’s many signatures — men’s wear, which was tweaked and feminized through deconstruction, proportion play and lots of bare shoulders. See the rest of the photos on WWD.com #wwdfashion (📷: George Chinese)
On Friday night, @yohjiyamamotoofficial received the Design for Asia Lifetime Achievement Award in Hong Kong. The 75-year-old designer has been celebrated for many years and is best known for his dark and avant-garde tailoring. “In my long career, in design, architecture, [I’ve been to] so many parties, this is the very first time that I have such a warm feeling, I really appreciate this,” Yamamoto said. #wwdfashion (📷: @dominiquemaitre)
Discovery is collaborating with British pop artist @philipcolbert on a new line of clothing and accessories called Discovery Shark. The collection, which will launch next summer for Shark Week’s 30th anniversary, features a whimsical line of women’s and men’s bomber jackets, sweatshirts, bags and more. #wwdfashion
“I’m always a big champion of a female rapper, and I’m glad to see a new voice that feels unique and authentic that’s coming up, and I think we’re going to see more great things from her,” said @itsjeremyscott about @iamcardib, who performed at @moschino’s Art Basel Miami Beach party last night. #wwdeye (📷: @lexieblacklock)
@janellemonae’s “What’s Your Frequency?” room in @refinery29's #29Rooms made its debut this week at the opening of the Los Angeles art exhibit. “It’s about the ongoing conversation around mass surveillance, the weaponization of technology and cultural uniformity. My space was created so that we can come together and talk about the complexities of our humanity,” said Monáe. #wwdeye (📷: @bucknerphoto)
@pantone announced their Color of the Year 2018: Ultra Violet. Nearly 20 months after the musician Prince’s death, fashion is having a purple moment. Varying shades of purple appeared on spring or fall runways, from @christopherkane to @calvinklein. @gucci’s Alessandro Michele bathed his fall runway in ultra violet-colored light at one point. Pantone 18-3838 is meant to “push the boundaries of what inspires us to look upward and outward to the future.” #wwdnews #wwdfashion (📷: @kukukuba)