Bain Capital, Golden Gate Allegedly Competing To Acquire Ann Taylor Parent Company

Shares of Ann Inc (NYSE: ANN) were up 8 percent Wednesday after Reuters reported that two private equity firms are allegedly competing to acquire Ann. The firms involved are Bain Capital LLC and Golden Gate Capital Corp, a source familiar with the issue said. Others could become interested soon, too.

Ann, Golden Gate Capital and Bain Capital declined to comment.

Ann, a specialty retailer of women's apparel, shoes and accessories sold primarily under the Ann Taylor and LOFT brands, has been struggling. According to the article, stockholding hedge funds Engine Capital LP and Red Alder LLC are also pressuring for a sale.

Despite the company's and the funds' intentions, a buyout is not certain. "Banks are reluctant to provide as much debt as buyout firms want amid economic concerns over these retailers, as well as regulatory constraints," Reuters explained.