WET SEAL IN TALKS: Teen retailer The Wet Seal Inc. said Tuesday that it has been in discussions with The Clinton Group since receiving its initial letter on June 15. The Clinton Group is an activist investor that disclosed its contact with the specialty chain Monday after the retailer said it let go of chief executive officer Susan McGalla. The shareholder pushed for a sale of the firm.
Wet Seal said Tuesday the board “appreciates input from all of its stockholders and is committed to maximizing stockholder value.” It also said it has engaged in a series of talks with the shareholder and “continues to review their recommendation regarding use of the company’s capital.”
This story first appeared in the July 25, 2012 issue of WWD. Subscribe Today.
In Clinton Group’s July 23 letter to the Wet Seal board, it disclosed that the retailer has $148 million in cash on its balance sheet.