- The American Apparel (APP) drama continues, after the retailer received a letter from Lion Capital stating that it must explore its strategic options including a sale of the company.
- The hedge fund holds warrants to buy 12% of American Apparel’s stock and has the right to nominate two directors to the company’s board.
- Lion Capital’s request follows a preliminary takeover proposal from P-E firm Irving Place Capital that valued the retailer at $1.30- $1.40 a share, or as much as $245M.