Nine West Holdings Inc.'s footwear business will be split up into four separate companies under a plan by private-equity owner Sycamore Partners LLC, part of an effort to squeeze more value from a stable of well-known brands. The new companies, which will remain part of Sycamore, will consist of Nine West, Anne Klein, Easy Spirit and NW Jewelry Group. As her company splits up, Nine West Footwear Group Chief Executive Officer Kathleen Nedorostek will be stepping down. Former Kohl's Corp. executive Peggy Eskenasi, meanwhile, is joining Sycamore to help oversee the operations.
The Jones Group announced it's accepted a buyout offer of $15 per share from private equity firm Sycamore Partners. The deal gives Jones, which owns a collection of midmarket fashion brands, an equity value of $1.2 billion. Sycamore will also take on $1 billion in debt, bringing the deal's enterprise value to $2.2 billion. Jones, which owns brands including Nine West, Anne Klein and Easy Spirit, has struggled in recent quarters as sales slumped, and put itself up for sale this summer after the activist hedge fund Barington Capital Group took a 2 percent stake in the company.
Jones Group, the owner of the Jones New York, Nine West and Anne Klein fashion brands, will close 170 stores and cut 8 percent of its workforce after first-quarter profit trailed analysts’ estimates. The actions will generate about $40 million in annual pretax savings by mid-2014, New York-based Jones Group said today in a statement. The plan will result in costs of $40 million to $60 million in the next 15 months, the company said.
New York -- The Jones Group Inc. reported Wednesday that net income for the quarter ended June 30 soared 56% to $7.9 million, from $5 million in the year-ago period. Sales for the parent to such brands as Nine West and Anne Klein dipped 4% to $854.8 million, missing Wall Street’s expected $865.5 million in revenue, but tightened inventory controls offset the sales decline. "We have received very positive reactions from wholesale customers to our enhanced products across our brands that will ship in (the) fall,” said CEO Wesley Card. “And are confident that this will translate into improved
The Jones Group Inc., whose brands include Nine West, Anne Klein and others, has ended talks on the potential sale of its jeanswear division. In October, Jones Group announced that it was in talks with Israeli clothing maker Delta Galil Industries Inc. about selling its jeanswear unit for between $350 million and $400 million. Jones Group said at the time that a deal had not been reached between the two parties and that there could be no assurances that a deal would result from of the talks. Delta Galil said Monday that it was unable to reach mutually acceptable
Jones Group is considering a sale of its denim business. The company, whose brands include Nine West and Anne Klein, said Oct. 11 that it's in talks with clothing maker Delta Galil Industries to sell its jeanswear division for about $350 million to $400 million. Jones expects talks to be completed by the end of the month, but said a deal hasn't been reached and a transaction isn't guaranteed.