NEW YORK — The board of J. Jill Group Inc. may consider selling the company.
The Quincy, Mass.-based company said Monday it will begin to explore strategic alternatives to enhance shareholder value, including a possible sale.
Company executives would not comment, but issued a press release stating “that there can be no assurance that the exploration of strategic alternatives will result in a transaction.”
The release also stated that the $450 million multichannel specialty retailer of women’s apparel, accessories and footwear does not intend to disclose developments with respect to the exploration of strategic alternatives unless and until its board has made a decision. J. Jill is working with Peter J. Solomon Co., its financial adviser, in the process.
Following J. Jill’s announcement, Liz Claiborne Inc., which has been aggressively pursuing the firm, issued a statement of its own. “We are pleased that J. Jill has decided to review strategic alternatives, and we look forward to participating in the process,” said Paul Charron, chairman and chief executive officer of Claiborne, in the statement. “Given our proven track record of growing brands, an unrivaled understanding of the ‘young Boomer’ market and the opportunity for significant synergies, we believe that Liz Claiborne is uniquely positioned to maximize J. Jill’s full potential.”
As reported, Claiborne and J. Jill have been in negotiations for about two years, and Claiborne made an all-cash offer of $18 per share to purchase the troubled operation on Nov. 12. Charron said he made his highest and latest offer that day, but would bend if need be.
J. Jill’s release made no mention of selling to any particular company and executives at Claiborne would not comment on whether it would offer more money for the firm at this point.