Guess shares soar after the ’90s fashion darling announced a $13 per share buyout offer
If the deal goes through, Guess will join WHP’s roster of former fashion heavyweights.
Shares of Guess surged 27% on Monday after the ’90s fashion icon announced a $13.00 per share take-private offer from investment firm WHP Global.
WHP, owner of over a dozen consumer and retail brands including Toys R Us, Vera Wang, Anne Klein, and Bonobos, drives over $7 billion in global retail sales. According to the press release, the deal would be financed with a mix of equity, third-party debt, and a rollover of shares including those from cofounders Paul Marciano and CEO Carlos Alberini.
Guess said a special committee is reviewing the offer and that the company would “operate in the ordinary course of business.” Still, there’s no guarantee it’ll go through. The offer comes just over a year after Guess teamed up with WHP to acquire the popular New York fashion brand Rag & Bone, which marked the retailer’s first-ever acquisition.
Once a ’90s mall staple known for edgy denim and bold, logo-heavy styles, Guess has seen its popularity slip as trends evolve and competitors heat up. Guess shares have dropped 50% over the past year.
