Clothing manufacturer American Apparel Inc has been approached by private equity firm Irving Place Capital for a possible takeover, The Wall Street Journal reported, citing sources. The Los Angeles-based retailer received an expression of interest from Irving Place in the last couple of weeks, people familiar with the matter told the Journal, adding that the approach was initially rebuffed because of the low price. ( on.wsj.com/1sMC70C)Irving Place then raised its price range to $1.30 to $1.40 per share. The board has yet to respond, the sources told the Journal.American Apparel failed to comment to Reuters. Irving Place could not be reached immediately for comment.American Apparel shares on Thursday closed at $1.00, up 31 cents, or 44.9 percent. In after-hours trading, the shares were up 4 percent.
American Apparel, Inc. is a vertically integrated manufacturer, distributor, and retailer of branded fashions basic apparel and accessories for women, men, children and babies. Shares of APP traded higher by 44.93% or $0.31/share to $1.00. In the past year, the shares have traded as low as $0.46 and as high as $1.45. On average, 1382860 shares of APP exchange hands on a given day and today's volume is recorded at 14560223.
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