Liz Claiborne, Inc. (LIZ)

[TheFinalCD]

Liz Claiborne jumps 13 pct on buyout report

http://finance.yahoo.com/news/liz-claiborne-jumps-13-pct-213656543.html
Liz Claiborne jumps 13 pct on buyout report, company says "no contemplation" of new strategy
Associated Press – Fri, Mar 30, 2012 7:14 PM EDT.. .

NEW YORK (AP) -- Shares of clothing company Liz Claiborne Inc. jumped 13 percent Friday after The Wall Street Journal reported that the company has been considering going private.

The company said late Friday that no deal is near.

"There is currently no contemplation of any strategy for the company other than executing against the operating plan we have already discussed," Liz Claiborne said in a statement.

The company said in January that it will change its name to Fifth & Pacific Cos., a move it said was fitting after it sold the Liz Claiborne and Monet brands to J.C. Penney Co. in November.

Liz Claiborne Inc. now plans to concentrate on its Juicy Couture, Lucky Brand and Kate Spade labels and has announced other moves it says will help boost its profit, including selling its Mexx business to a joint venture led by the private equity firm The Gores Group.

The Wall Street Journal cited anonymous sources in reporting that several private-equity firms have held discussions with Liz Claiborne about the company going private. It said an asking price of around $20 a share was discussed.

That would value the firm about $2.02 billion, based on roughly 101 million shares outstanding.

The newspaper said that Liz Claiborne's conversations with private-equity firms kicked off in August, when a company initially interested in buying Liz Claiborne's Mexx fashion brand sought to buy the whole company. The Journal said Liz Claiborne was assisted by its financial adviser Centerview Partners LLC then in reaching out to other parties.

An improving credit market has reignited interest in a buyout, the Journal said.

Liz shares spiked after the Journal's report and closed at $13.36, up $1.53, almost 13 percent. That was their highest close since late 2008.
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