The Jones Group Going Private

Another large fashion company is undergoing large changes.

The Jones Group Inc. announced yesterday that they have entered into a definitive agreement pursuant to which affiliates of Sycamore Partners will acquire The Jones Group for $15.00 per share in cash, or a total of approximately $1.2 billion. The transaction is valued at approximately $2.2 billion, including net debt. Upon completion of the transaction, The Jones Group will become a privately held company. 

The acquisition, which is structured as a one-step merger with The Jones Group as the surviving corporation, is subject to customary closing conditions, including receipt of shareholder and regulatory approvals. The acquisition requires the affirmative vote of a majority of the votes cast by the holders of outstanding shares of the Company's stock, which will be sought at a special meeting of shareholders. The transaction is currently expected to close in the second quarter of 2014. 

Sycamore Partners is a private equity firm based in New York.