Abercrombie shares hit 17-year low after company ends talks with potential buyers
Abercrombie & Fitch Co said on Monday it terminated talks about a potential sale following a review, sending the teen apparel retailer's shares down more than 10 percent in premarket trading.
The company had said in May it was in talks with several bidders regarding a potential sale, a day after Reuters reported that the retailer was working with an investment bank to field takeover interests from other retailers.
Rival American Eagle Outfitters Inc and private-equity firm Cerberus Capital Management were working on a joint bid, the Wall Street Journal reported in May.
Abercrombie, along with other teen apparel retailers, has been hurt by fierce competition from fast-fashion retailers such as H&M and Inditex's Zara as well as from online retailers such as Amazon.com Inc.