TowerBrook buying True Religion for about $826M

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Associated Press

Posted on May 10, 2013 at 9:01 AM

Updated Friday, May 10 at 9:02 AM

VERNON, Calif. (AP) — True Religion Apparel has agreed to a buyout offer of about $826 million from the investment management firm TowerBrook Capital Partners LP.

True Religion is best known for its high-priced denim. It had announced in October that it was exploring strategic options.

In March, its CEO Jeff Lubell stepped down and was named chairman emeritus and a creative consultant.

TowerBrook has investments in companies including Jimmy Choo and Odlo. It said Friday that it will pay $32 per share, which is a 9 percent premium to True Religion's Thursday closing price of $29.44.

The companies put the deal's total value at about $835 million.

FactSet says True Religion Apparel Inc. has approximately 25.8 million outstanding shares.

True Religion's board unanimously approved the transaction. It still needs approval from the Vernon, Calif., company's stockholders.

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