J.Crew Group, Inc. to Leonard Green, TPG

General RetailSpecialty/Nov 2010/Perella Weinberg

Deal Information

Target

J.Crew Group, Inc.

Acquiror

Leonard Green, TPG

Sector

Target Type

Public

Acquiror Type

Financial

Advisors

Perella Weinberg

Enterprise Value

$2.7B

EV / LTM Sales

EV / LTM EBITDA

8.6x

EV / Fwd EBITDA

Comparable transactions cited by the advisor, excluding the subject transaction.

15 comps


Specialty Apparel
	Dec 2005	Tommy Hilfiger	Apax Partners	$1.5B	-	7.9x	-
	Mar 2007	Claire’s Stores	Apollo Management	$2.6B	-	7.9x	-
	Jul 2007	Deb Shops	Lee Equity Partners	$259M	-	7.8x	-
	Aug 2009	Charlotte Russe	Advent International	$312M	-	6.6x	-
	Mar 2010	Tommy Hilfiger	Van Heusen	$3.1B	-	7.9x	-
	Oct 2010	Gymboree	Bain Capital	$1.8B	-	8.2x	-
Branded Retail
	Nov 2004	Barneys New York	Jones Apparel Group	$400M	-	8.1x	-
	Feb 2005	The May Department Stores Company	Federated Department Stores	$17.3B	-	8.9x	-
	Mar 2005	Toys “R” Us	Private equity consortium	$6.2B	-	9.4x	-
	May 2005	Neiman Marcus	Private equity consortium	$5.0B	-	10.2x	-
	Nov 2005	Linens n Things	Apollo Management	$1.3B	-	8.8x	-
	Jan 2006	Burlington Coat Factory	Bain Capital	$2.0B	-	7.2x	-
	Jun 2006	Michaels Stores	Private equity consortium	$5.6B	-	12.2x	-
	Jul 2006	Petco	Private equity consortium	$1.8B	-	8.7x	-
	Jun 2007	Barneys New York	Istithmar	$942M	-	14.1x	-
		Mean			-	8.9x	-
		Median			-	8.2x	-

Discount rate and terminal value assumptions the advisor selected for its discounted cash flow analysis.

Advisor	WACC	Terminal method	Terminal assumption	Forecast basis	Forecast period	Filing
Perella Weinberg	11.0% – 15.0%	Exit multiple	6.0x – 7.5x (NTM EBITDA)	-	fiscal 2011-2015 (November five year projections)	Open