Sycamore Partners Drops Ted Baker Buyout Pursuit

The board of British fashion retailer Ted Baker has narrowed its choices for the company to which it plans to sell the brand, less than a month after it got several non-binding offers, according to a company press release Monday (May 23).

One bidder who submitted a proposal but will not be moving forward in the process is private equity Sycamore Partners. Ted Baker’s board didn’t announce which of the bidders is now the primary target of its due diligence but said the process to confirm the potential buyer is “likely to take several weeks.”

The due diligence process is no guarantee that Ted Baker will strike a deal with its potential buyer.

“There can be no certainty that an offer will be made, nor as to the terms on which any offer will be made,” the Ted Baker board announced. “Further announcements regarding the formal sale process will be made when appropriate.”

The board has also waived its rule that all interested parties must be publicly identified and eliminated the 28-day deadline to close a deal as long as the sides are continuing their negotiations after that four-week window expires.

Ted Baker’s board says the fact that this process has reached this point doesn’t necessarily mean they will find a buyer, adding they can alter or halt the process at any time and reject any approach or terminate discussion with any interested party at any time.

Related: Ted Baker Gets Multiple Buyout Proposals

Ted Baker has almost 400 locations across Europe, North America and the United Kingdom. Sky News reported in April that Reebok owner and brand licensing conglomerate Authentic Brands Group (ABG) was exploring a bid for Ted Baker.

ABG includes Reebok, Aeropostale, Forever 21 and roughly 50 other labels.

Ted Baker rejected a pair of bids from Sycamore Partners in March that put the company’s value in the range of 250 million pounds (almost $320 million) but announced in early April that it was open to offers.

Ted Baker’s sales grew 35% last year, and company officials said earlier in the process that it was “well-positioned to create significant value for shareholders.”