By Olivia Oran
NEW YORK, March 18 Japan's Fast Retailing Co Ltd
, parent of apparel chain Uniqlo, is no longer in talks
to buy U.S. clothing retailer J.Crew Group Inc from its private
equity owners, three people familiar with the matter said on
The talks ended in recent weeks, the people said, adding
that an initial public offering for J.Crew is still on the
It is possible that the talks with Fast Retailing may be
revived, one of the people said.
J.Crew, which was taken private by TPG Capital LP and
Leonard Green & Partners LP for $2.8 billion in 2011, hoped to
fetch at least $5 billion in a sale, Reuters and others
J.Crew and Fast Retailing could not be reached for comment.
TPG and Leonard Green declined to comment.
Run by well-known executive Mickey Drexler, J.Crew is a
multi-channel retailer of women's, men's and children's apparel,
shoes and accessories. As of February, the company operated 330
retail stores, including 257 J.Crew retail stores, eight
crewcuts stores and 65 Madewell stores, according to its
In the fiscal year ended Feb. 1, J.Crew's revenues increased
9 percent to more than $2.4 billion while adjusted earnings
before interest, taxes, depreciation and amortization rose to as
much as $371 million from $360 million in the prior year.
Fast Retailing also owns U.S. apparel brands Theory and J
Brand. The company started trading on the Hong Kong stock
exchange in early March.
Chief Executive Tadashi Yanai has set a lofty goal of making
his company the world's top apparel retailer by 2020 by
quintupling revenue to 5 trillion yen ($49 billion), overtaking
Zara's Inditex, Hennes & Mauritz (H&M) and Gap
While Uniqlo's global expansion has been driven primarily by
Asia so far, it plans to accelerate a push into the United
States, adding 20-30 shops a year to reach 100 outlets in