Axios Pro Exclusive Content

Sycamore stays in the Ted Baker fray

headshot
The Ted Baker banner is spelled out above a store entrance in black lettering.

Photo: Jeffrey Greenberg/UCG/Universal Images Group via Getty Images

Ted Baker said early this morning that PE firm Sycamore Partners will participate in the formal sale process the London-based apparel retailer announced on April 4.

Why it's the BFD: What began with the rejection of two unsolicited bids has now morphed into a full-fledged auction process involving multiple bidders.

Of note: This bidding interest is happening against a backdrop of geopolitical turmoil and a tightening economic environment, to which Europe and its consumers are vulnerable.

  • To boot, the interest focuses on the fashion category, one of the first areas consumers cut spending if it looks like the economy is in trouble.

Between the lines: Sycamore is also said to be pursuing a bid for Kohl's and Walgreens' Boots division.

The bottom line: Bidders need to have a strong stomach to transact in this environment, especially in Europe, but consumption remains strong and the economy is steady.

Go deeper