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Tailored Brands, Owner of Men's Wearhouse, Files for US IPO
Summary
The parent company of Men's Wearhouse and Jos. A. Bank has submitted paperwork for a U.S. initial public offering, showing increased quarterly revenue as it aims to return to public markets after a 2020 bankruptcy.
Tailored Brands, the parent company of menswear retailers Men's Wearhouse and Jos. A. Bank, has filed for an initial public offering in the U.S., marking a significant step in its corporate turnaround. The filing reveals the company's recent financial performance as it prepares to list on the Nasdaq exchange.
Financial Snapshot
According to the regulatory filing submitted on Friday, Tailored Brands reported a rise in revenue but a decrease in profit for the first quarter. Key figures for the three months ended May 2 include:
- Revenue: $681.8 million, an increase from $644.4 million in the same period a year earlier.
- Net Profit: $44.9 million, a decline from $50.7 million reported in the prior year.
The Houston-based retailer intends to list its shares on the Nasdaq under the ticker symbol "MENW". The company has not yet determined the number of shares to be offered or the proposed price range for the IPO.
Post-Bankruptcy Comeback
AdThe move to go public represents a major milestone for Tailored Brands, which filed for bankruptcy protection in 2020 amid challenges exacerbated by the coronavirus pandemic. The company has since restructured its operations, which include over 1,000 stores across its brands: Men’s Wearhouse, Jos. A. Bank, Moores, and K&G Fashion Superstore.
Following its bankruptcy, hedge fund Silver Point Capital became a significant stakeholder and is set to remain the controlling shareholder after the IPO. Tailored Brands stated it plans to use the proceeds from the offering to pay down debt and for general corporate purposes, including working capital and capital expenditures.
Market Context
Tailored Brands' IPO filing comes amid a more favorable environment for public listings, supported by stronger equity markets and improving valuations. The consumer retail sector has seen a recent uptick in IPO activity, with womenswear brand Reformation also filing to go public last month.
The offering is being managed by a team of prominent investment banks, with Goldman Sachs, Morgan Stanley, and Jefferies listed as among the lead underwriters.