Limited Brands Cuts Out The Limited - TheStreet

Limited Brands Cuts Out The Limited

Limited Brands is selling off the remainder of its stake in The Limited.
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NEW YORK (

TheStreet

) --

Limited Brands

(LTD)

announced on Thursday that it sold off the remaining 25% of its stake in Limited Stores.

Private-equity group Sun Capital purchased the remaining interest from Limited for $32 million.

"This sale supports our focus on intimate apparel, personal care and beauty products," Leslie H. Wexner, Chairman and Chief Executive Officer of Limited Brands said in a statement.

Limited Brands sold its 75% stake in Limited Stores, which operates The Limited clothing chain, to Sun Capital back in 2007.

This leaves Limited Brands with the Victoria's Secret, Bath & Body Works and Henri Bendel chains.

Limited Brands has emerged as a standout in the sector over the last several months, reporting the one of the best May same-store sales numbers.

Management is expecting operating margins to reach 15% by 2012 and sales to surpass $8 billion this year.

"Limited maintains its disciplined approach to inventory management, while strengthening its product and systems infrastructure positioning to adapt quickly to changing consumer needs and setting the stage for aggressive market share gains once the macro environment improves," Susquehanna analyst Thomas Filandro wrote in a note.

-- Reported by Jeanine Poggi in New York.

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