Ascena Retail Group Buys Ann Taylor, Loft, and Lou & Grey

Publicly traded Ascena Retail Group has agreed to acquire Ann Inc. in a stock and cash deal valued at $2.2 billion.

The deal brings together the Ascena portfolio, which includes Lane Bryant, DressBarn, Maurices, Catherines, and tween retailer Justice, with Ann Inc.’s portfolio, including Ann Taylor, Loft and fresh Loft spin off, Lou & Grey.

With the addition of Ann Taylor and Loft brands, Ascena will become one of North America’s largest and most diversified specialty apparel retailers, with a tremendous set of opportunities to continue to expand its leadership position in the women’s apparel market.

David Jaffe, President and CEO Ascena

Ascena is listed on NASDAQ and at the time of writing was trading at $14.19 a share. The transaction calls for Ann Inc. shareholders to receive at closing $37.34 in cash and 0.68 of a share in Ascena common stock in exchange for each share of Ann common stock. The transaction was approved by the Boards of both companies and is expected to close in the second quarter, pending certain conditions and regulatory approvals. Ascena is reported to be financing the deal through bank debt.

The transaction will make us part of a larger organization with a diversified portfolio of brands focused on the women’s apparel market.

Kay Krill, President and CEO, Ann Inc.

Ann Inc ad loft adLou & Grey