No new bidders for J. Crew
New York City — J. Crew Group said Wednesday that it did not receive any alternative takeover bids during an 85-day "go shop" period, in which the company sought alternatives to an offer from its former owner.
J. Crew agreed in November to be taken private in a $3 billion deal with two investment firms, TPG Capital and Leonard Green & Partners. It originally had until Jan. 15 to vet other prospects, and that period was extended by a month.
J. Crew said it approached 59 potentially interested buyers, and that it entered into talks with four of them. One expressed interest after the waiting period was extended, the company said. However, none of the talks yielded any firm proposals.
Under the deal hammered out with the investment groups, J. Crew shareholders will receive $43.50 per share, 11 cents less than the retailer’s closing price Wednesday.
Apollo Management to combine Sprouts Farmers Market and Henry’s Farmers Market
Phoenix — Private equity firm Apollo Management will acquire majority ownership in Phoenix-based Sprouts Farmers Market. Apollo plans to combine Sprouts operations with another of its holdings, Henry’s Farmers Market, based in Irvine, Calif. The combined company will operate under the Sprouts Farmers Market name.
Terms of the deal, expected to close in the second quarter of this year, were not disclosed. The combined grocers will have 98 stores and generate annual sales that exceed $1 billion.
"After the combination, Sprouts will be one of the largest growth-oriented specialty retailers in the United States with a focus on natural and organic products," said Andrew Jhawar, a senior partner with Apollo.
Henry’s and Sprouts were both found by the family of San Diego businessman Henry Boney.
Cabela’s reports profit, sales rise in Q4
Sidney, Neb. — Cabela’s reported Thursday that net income for the quarter ended Jan. 1 rose to $59.9 million, compared with $52.4 million in the year-ago period.
Total revenue for the quarter increased 8.4% to $934 million; retail store revenue increased 11.4% to $479 million.
Same-store sales increased 7.3%.
"With this quarter’s performance, it is clear our strategies are working and we are gaining momentum," said Tommy Millner, Cabela’s CEO.
Millner added that the outdoor retailer expects to meet or exceed Wall Street expectations for full year 2011 earnings.