Advent to acquire Charlotte Russe
Teen mall-based retailer Charlotte Russe Holding Inc. has entered into a definitive agreement to be acquired and taken private by private equity firm Advent International Corp. for approximately $380 million.
The price represents a 26.9% premium over the closing cost of Charlotte Russe's shares on August 21, the last trading day before the deal was announced.
Under the terms of the deal, an affiliate of Advent will purchase all of the outstanding shares of Charlotte Russe's common stock for cash at a price of $17.50 per share beginning on or before August 31.
“Over the last several quarters, we have worked diligently, increasing our focus on individual store performance metrics, better merchandising and implementing best retail practices to improve operational performance, profitability and shareholder returns,” said John Goodman, CEO at Charlotte Russe, in a statement.
Charlotte Russe launched its first e-commerce venture in 2007 and has focused on making CharlotteRusse.com a leading teen apparel destination by adopting new technology, such as a social shopping platform from DecisionStep.