VERNON, Calif. (AP) — True Religion Apparel says it is considering a possible sale of the company, as well as other strategic options, after receiving interest from some third parties.
Its stock jumped $4.39, or 20.9 percent, to $25.40 in premarket trading on Wednesday. That is still 33 percent below their 52-week high of $37.82 in early February.
The clothing company, known for its high-end jeans, said that its board has created a special committee that will evaluate its potential options.
True Religion has struggled a bit of late. During the summer the company reported second-quarter revenue that missed Wall Street’s expectations and cut its full-year earnings guidance and lowered the high end of its revenue outlook.
True Religion Apparel Inc. says the committee has not set a definitive timetable for when its strategic review will be completed. The company also said that there is no guarantee that any transaction or other strategic alternative will take place.
True Religion, which is based in Vernon, Calif., had 116 stores in the U.S. and 23 internationally as of June 30.
