J. Crew Files for Public Stock Offering
J. Crew Group Inc. filed for an initial public offering Wednesday, 2 1/2 years after the clothing retailer hired former Gap Inc. Chief Executive Millard Drexler to lead its turnaround effort.
The retailer, which is controlled by private equity firm Texas Pacific Group, may raise as much as $200 million in the IPO, according to its regulatory filing. That would constitute the second-largest retail IPO of the year if the offering is completed before January, according to data provider Dealogic.
The retailer hired Drexler in January 2003 after finding itself exhibiting many of Gap’s old signs of distress -- merchandise missteps and declining sales despite rapid store growth.
At the helm of J. Crew, Drexler has been careful not to open too many new stores or overstock its shelves. It reported a 37% rise in same-store sales in the first quarter, with Drexler attributing part of the increase to “the scarcity of our merchandise.”
The New York-based company intends to apply for a New York Stock Exchange listing under the symbol JCG.