Ascena Retail Group acquires ANN Inc.

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Ascena Retail Group Inc. announced Friday that it has acquired Ann Inc.According to the Mahwah-based specialty retailer, Ann Inc. stockholders will get $37.34 in cash and 68 cents per share of Ascena common stock for each share of Ann Inc. common stock.

Ascena will now own Ann Taylor, LOFT and Lou & Grey brands, making it one of the most diversified apparel retailers with $7.4 billion in sales, a fleet of more than 4,900 stores and more than 70,000 associates.

“This powerful merger joins two strong and highly complementary organizations, and dramatically reinforces our leadership position in women’s specialty apparel retailing. The acquisition positions Ascena as the third largest specialty apparel retailer and the single largest focused on women’s apparel, with a diverse brand portfolio that serves women of all ages, sizes and demographics,” David Jaffe, Ascena CEO and president, said in a prepared statement.

Guggenheim Securities and Goldman, Sachs & Co. acted as financial advisors to Ascena. Proskauer Rose LLP acted as legal counsel to ascena. J.P. Morgan Securities LLC acted as the financial advisor to Ann Inc. Wachtell, Lipton, Rosen & Katz acted as legal counsel to Ann Inc.

With the completion of the merger, Ann Inc.’s shares will be removed from the NYSE and trading will end at the close of business on Aug. 21. Ann Inc. will continue to operate as a wholly-owned subsidiary of Ascena.