Boutique retailer Calypso may be on the block, The New York Post reported Friday.
Calypso reportedly has tapped Los Angeles investment bank Sage Group LLC to field prospective offers for a minority stake, though an outright sale hasn't been ruled out, from "private equity firms and industry players," according to the Post's unnamed sources. The apparel-maker's valuation is reportedly estimated at about $80 million or 11 times Ebitda.
Sage Group is no stranger to boutique retail auctions. It advised Earl Jean Inc. in its $45 million sale to Nautica Enterprises Inc., just six months into its existance. It also assisted Travis Jeans Inc., which does business as Juicy Couture, in its $100 million sale to Liz Claiborne Inc. in 2003, and yoga and sportsware outfitter Skylark Sport Marketing Corp. to Liz Claiborne for $34.4 million last year. More recently, Sage advised Los Angeles-based CRL Group LLC, which makes women's sportswear under the Vince brand, in its sale to the Kellwood Co. in September.
The Calypso news follows the sale of U.S. T-shirt and cotton clothing outfitter American Apparel Inc. earlier this week to special purpose acquisition company Endeavor Acquisition Corp. for for $354 million in stock and assumed debt.—Carolyn Murphy
