New User:

-or-
Username:
Password:
Forgot your password?

Stock Market & Financial Investment News

News Breaks
August 25, 2014
13:10 EDTANNAnn Inc. rises after investors call on board to consider sale
Shares of women's apparel retailer Ann Inc. (ANN) are climbing after investors in the company urged it to consider selling itself. WHAT'S NEW: Two investors in Ann Inc.'s stock - Engine Capital and Red Alder - disclosed this morning that they had sent the company's independent board members a letter in which they called on the company to consider selling itself. Engine Capital is a value oriented, special situations fund, while Red Alder is an investment adviser. The two entities, who made the statements in a press release, said that they own a combined stake of more than 1% in Ann. The retailer is "deeply undervalued" and the board can take action that would significantly increase shareholder value, the investors wrote. After speaking with members of Ann's management team, the two entities said they had hoped that the company would start exploring strategic alternatives, including a sale of the company. However, since the company did not announce that it was beginning such a process, the investors decided to go public with their request, they stated. After conducting extensive due diligence, including studying the valuations at which privately-held retailers have been sold, Engine Capital and Red Alder estimate that Ann Inc could be sold for $50-$55 per share. Moreover, the entities said that several factors, including their decision to go public with their position and the purchase of a 9.5% stake in Ann earlier this year by private equity firm Golden Gate Capital, make "the status quo untenable." They urged Ann Inc. to immediately retain a nationally recognized investment bank and establish a special committee of independent directors to explore strategic alternatives, including a sale. WHAT'S NOTABLE: Ann Inc. shares slid over 3% on Friday after the company reported its Q2 results that morning and said that it experienced softer traffic levels along with sales and margin pressure in the second half of the quarter. PRICE ACTION: In early afternoon trading, Ann gained 4.3% to $39.14.
News For ANN From The Last 14 Days
Sign up for a free trial to see the rest of the stories you've been missing.
October 14, 2014
18:20 EDTANNOn The Fly: After Hours Movers
Subscribe for More Information
16:54 EDTANNAnn Inc. up 8% after nondisclosure agreement with Golden Gate Capital
Subscribe for More Information
16:24 EDTANNAnn Inc. in non-disclosure agreement with Golden Gate Capital
Subscribe for More Information
October 9, 2014
09:41 EDTANNBofA/Merrill retail analysts hold an analyst/industry conference call
Subscribe for More Information

Sign up for a free trial to see the rest of the stories you've been missing.

I agree to the theflyonthewall.com disclaimer & terms of use