True Religion to Explore SaleOriginally published October 10, 2012 at 8:54 a.m., updated October 10, 2012 at 1:22 p.m.
Shares of True Religion Apparel Inc. surged the most in more than three years Wednesday morning after the designer denim maker said it will explore strategic alternatives, including a possible sale.
The Vernon manufacturer and retailer said that its board has formed a special committee to consider options after receiving interest from third parties. True Religion has hired Guggenheim Securities LLC as a financial adviser and Greenberg Traurig LLP as legal counsel.
A sale to private equity might be more suitable as the company works to build infrastructure to accommodate its “tremendous growth prospects,” Dorothy Lakner, an analyst at Caris & Co., told Bloomberg News.
Shares closed up $4.70, or more than 22 percent, to $25.71 in on the Nasdaq.