PARIS (Reuters) - U.S. private equity firm Sun Capital Partners has appointed Morgan Stanley to sell DBApparel, the maker of Wonderbra, Dim and Playtex lingerie, in a deal that could fetch more than 600 million euros ($761 million), French daily newspaper Les Echos said on Wednesday, citing unidentified sources.
The business, which Sun Capital bought from Sara Lee SLE.N six years ago, has seen its profitability increase sixfold following a restructuring, but its sales have declined as women cut down on lingerie spending due to the economic crisis in Europe, DBApparel’s main market.
Sun Capital could consider refinancing DBApparel, which has no debt, if the business does not fetch a satisfactory valuation, the newspaper said, citing the same sources.
Sun Capital and Morgan Stanley were not immediately available for comment.
Reporting by Elena Berton and Alexandre Boksenbaum-Granier; Editing by Greg Mahlich