Abercrombie & Fitch reportedly hiring investment bank to handle potential suitors

The troubled U.S. teen apparel retailer is reportedly working with an investment bank to field takeover interest from other retailers.

As people familiar with the situation said on Tuesday to Bloomberg, Abercrombie & Fitch would have hired investment bank Perella Weinberg Partners to handle potential takeover approaches. However, today there is no certainty that any deal will occur, the sources added.

Market experts point out that as A&F's stock trades at a 17-year low, it has become a vulnerable acquisition target.

Based in New Albany, Ohio, Abercrombie has a market capitalisation of 862 million dollars. In recent years, the retailer's operating income fell from 72.8 million dollars in 2015 to 15.2 million dollars a year later.

Abercrombie and Perella Weinberg have not made any comments in this regard.