J.Crew's possible return to the market

TPG Capital and Leonard Green & Partners may be

looking to launch an initial public offering of US-based preppy brand J.Crew, or even sell part or all of the company to another private equity owner within the next few months, revealed internal sources who are familiar with the company.

Interest in the company has started to grow, thanks to J.Crew's expansion plan, the successful opening of its first stores overseas in the UK this month and the strong stock market. “It's certainly not out of the question,” revealed one source. “There's been a lot of interest from people around the world who would like to acquire or partner with J.Crew.” TPG and Leonard Green are entering their fourth year of ownership of the brand, and considering most private equities have a three to five year time-line of ownership, now could be the right time to take J.Crew public or sell the company.

J.Crew reported a revenue increase of 11.3 percent, or 42.9 million dollars last quarter. TPG and Leonard Green made the decision to take the brand private early on in 2011 for 2.86 billion dollars.