High-price clothes retailer True Religion (NASDAQ:TRLG), faced with a 39% downturn in its stock value and disappointing profits, is considering selling out. The company has formed a special committee to consider potential moves, including a possible sale.
No decision on a sale has been made, reports The Wall Street Journal. True Religion is also considering strategic partnerships and other actions. There’s no timeline for a decision.
Founded in 2002 and at one time a very high-flying brand, the retailer has seen significant competition in the high-end jeans market from retailers such as Gap (NYSE:GPS) and others.
While booking more than $400 million in sales last year, True Religion has been disappointing with low-than-anticipated profits and sales forecasts. Costly attempts to expand overseas have also been a drag on the share price.