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HomebusinessFast Retailing pulls out of talks to buy J.Crew

Fast Retailing pulls out of talks to buy J.Crew

Japan's Fast Retailing, parent of apparel chain Uniqlo, is no longer in talks to buy U.S. clothing retailer J.Crew Group from its private equity owners, three people familiar with the matter said on Tuesday.

The talks ended in recent weeks, the people said, adding that an initial public offering for J.Crew is still on the table.

It is possible that the talks with Fast Retailing may be revived, one of the people said.

Models pose at the J.Crew presentation during Fashion Week, New York.Getty Images

(Read more: Is Fast Retailing getting too ambitious?)

J.Crew, which was taken private by TPG Capital and Leonard Green & Partners for $2.8 billion in 2011, hoped to fetch at least $5 billion in a sale, Reuters and others previously reported.

J.Crew and Fast Retailing could not be reached for comment. TPG and Leonard Green declined to comment.

Run by well-known executive Mickey Drexler, J.Crew is a multi-channel retailer of women's, men's and children's apparel, shoes and accessories. As of February, the company operated 330 retail stores, including 257 J.Crew retail stores, eight crewcuts stores and 65 Madewell stores, according to its website.

In the fiscal year ended February 1, J.Crew's revenues increased 9 percent to more than $2.4 billion while adjusted earnings before interest, taxes, depreciation and amortization rose to as much as $371 million from $360 million in the prior year.

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