The Ted Baker logo is seen at their store at the Woodbury Common Premium Outlets in Central Valley, New York, U.S., February 15, 2022. REUTERS/Andrew Kelly/File PhotoRegister now for FREE unlimited access to Reuters.com
- Offer price of 110 pence per Ted Baker share
- Offer backed by Ted Baker board
Aug 16 (Reuters) – Juicy Couture and Forever 21 owner Authentic Brands (ABG) (AUTH.N) has agreed to buy Ted Baker (TED.L) in a deal worth roughly 211 million pounds ($254 million), ending months of speculation over the fate of the British fashion group.Pandemic-related losses forced Ted Baker to put itself up for sale in April and the company picked a preferred suitor the following month. However, the bidder – reported to have been ABG – in June decided not to make an offer, forcing Ted Baker to consider other options. read more Ted Baker has now reached an agreement with U.S.-based ABG, whose brands also include Reebok, consisting of 110 pence cash for each Ted Baker share, and which represents a premium of about 18.2% to Monday’s closing price.Register now for FREE unlimited access to Reuters.comThe companies said the deal would not be revised unless a rival suitor emerges.”ABG believes there are significant growth opportunities for the Ted Baker brand in North America given (its) … strong consumer recognition in this market,” the New York-listed company said in a statement on Tuesday.Known for its suits, shirts and dresses with quirky details, Ted Baker is in the midst of a turnaround plan and is looking to benefit from a rebound in demand for office and leisure wear.In May it posted a smaller annual loss of 38.4 million pounds and said sales in the first quarter of the current year had risen 20% year-on-year. read more Ted Baker had also rejected several bids from private-equity group Sycamore before launching its sale process, and Tuesday’s move is the latest in a flurry of deals for British companies, made more affordable to overseas buyers by the weakness of the pound.Ted Baker’s shares were up about 17% at 108p in early trading, just shy of the offer price and still well short of their peak in 2015 when they were trading at 2,972p apiece.($1 = 0.8299 pounds)Register now for FREE unlimited access to Reuters.comReporting by Pushkala Aripaka in Bengaluru; Editing by Sherry Jacob-Phillips and David HolmesOur Standards: The Thomson Reuters Trust Principles. .
