Rue21 Plans Public Offering in Upcoming Months
Pittsburgh, Bob Fisch, president and CEO of teen retailer rue21, Inc. said the company plans to have a public offering once again, The Pittsburgh Post-Gazette reported. The chain, which recently opened a new 35,000-sq.-ft. headquarters and plans to open 400 stores in the next five years, claims its double digit same-store sales for the past two years has helped the company go public once again. Although owners of the then-235-store chain reported sales of $160 million in 1998, the company filed for Chapter 11 bankruptcy reorganization in February 2002. Under Fisch’s management, sales increased as new merchandize and strategy was implemented. “We are becoming the dominant teen-specialty value retailer in the industry,” Fisch said. The public offering is expected within the next 12 to 18 months.
Pier 1 Sells Subsidiary Group
New York City, Retailer Pier 1 Imports Inc. said it was selling its the United Kingdom-based subsidiary Pier Retail Group Limited to Palli Limited for about $15 million. Pier 1 said it recorded a pretax impairment charge of about $7 million in the fiscal fourth quarter related to the subsidiary.
Golf Galaxy Acquires The GolfWorks
Eden Prarie, Minn., Golf Galaxy, Inc. completed its acquisition of club-making tools and supply company The GolfWorks. The acquisition comes two days after competitor Golfsmith International filed plans with the Securities and Exchange Commission to launch an initial public offering worth approximately $115 million. Golf Galaxy paid a combination of $3.7 million in cash and assumed $5.4 million in debt from The GolfWorks, which reported net sales of $24.5 million in fiscal 2005. Golf Galaxy currently operates 52 stores in 23 states along with its e-commerce Web site.