Sycamore Partners buys The Limited for $26.75 million
February 24, 2017 05:04 PM
Private equity firm Sycamore Partners has acquired the intellectual property of apparel retailer Limited Stores LLC.
The purchase price was $26.75 million in cash, according to court documents filed Thursday. In announcing the acquisition Friday, Sycamore writes that it “plans to reintroduce the brand to the marketplace at a later date and will communicate with The Limited's loyal customers about how to obtain the merchandise they know and love.” The company did not specify when The Limited might resume selling online.
The Limited, No. 216 in the Internet Retailer 2016 Top 500 Guide, filed for bankruptcy and shut down its site last month. According to Top500Guide.com, The Limited generated $130 million in web sales in 2015, up 18.2% from $110 million the previous year. Sycamore, which specializes in retail investment, had emerged as the leading bidder for The Limited earlier this month, and the final purchase price was $1 million higher than Sycamore’s initial bid. Sycamore also owns women’s apparel retailer The Talbots Inc. (No. 137), women’s footwear and accessories retailer Nine West Holdings (No. 205), and multichannel teen apparel retailer Hot Topic Inc. (No. 283).
Apparel company Sunrise Brands was the other bidder for The Limited’s assets, according to Reuters. Sunrise owns such brands as Melissa McCarthy, Seven7 Jeans and Eva Longoria clothing lines, and it makes private-label apparel for retailers that include Amazon.com Inc. (No. 1), Wal-Mart Stores Inc. (No. 4) and Target (No. 22).