The beautiful British Ted Baker brand is reportedly up for sale. Ted Baker has launched an official, formalised bidding sale process after denying a series of ‘unsolicited’ takeover bids.
Two takeover bids have been denied by Baker. The rejected bid is for $254 million USD, from two proposals by US private equity group Sycamore partners. The company board rejected the bid because it was significantly undervalued. This rejection did not stop the bidding, as the Sycamore group has put in a third and higher bid.
The fashion label is inviting exclusive offers. A predicted sale is not certain or solid in the near future, as future bidding processes are being kept confidential. The interested parties are able to submit non-binding offers to Evercore and Blackdown Partners, who are Baker’s financial advisers. Only a small, select number of these parties will move onto the second phase of negotiations. Per Yahoo,
“The price that Ted Baker will accept from a buyer is clearly more ambitious than what the existing bids offer.”
Ted Baker wants to maintain enthusiasm for the potential growth of the brand. This is due, mainly, to the fact that the company suffered greatly from the COVID pandemic.
“There may well be a disconnect between Ted Baker’s valuation of itself and the amount a third party is willing to spend on a much improved, but nevertheless struggling, bricks and mortar retailer.”
The British, high-street retailer is only accepting ambitious offers. The company is clearly more interested in bids from companies that show interest in the potential growth of the brand and understand its uniqueness. Baker has made a statement, explaining that he wants to conduct a “targeted,” multiphase sales process which is “focused on those parties who understand and value the full potential of this unique brand.”
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