NEW YORK (TheStreet) -- Ann Inc. (ANN) is once more being urged to contemplate a sale to a private equity firm or another apparel company by the hedge funds Red Alder LLC and Engine Capital, Reuters reports.
The hedge funds believe if Ann were to be purchased by a retailer like Chico's FAS Inc. (CHS) , Ascena Retail Group (ASNA) , or J. Crew, it would bring a price of between $60 and $65 per share, Reuters noted.
If the company, which sells women's clothing, accessories, and shoes under its Ann Taylor and LOFT brands, were to be sold to a private equity firm, the price would likely be between $50 and $55 per share.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
Red Alder and Engine Capital own over 1% of Ann stock and said they spoke with a number of shareholders, all of whom agree with their assessment that Ann conduct a strategic alternate review, Reuters added.
"The consensus is that the status quo is not sustainable and that exploring a sale makes sense," the two hedge funds said at an investor presentation on Monday, Reuters reports.
Shares of Ann are up 0.51% to $41.03 at the start of trading on Monday.
Separately, TheStreet Ratings team rates ANN INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: