J. Crew Luring Record Price Opens Exit for TPG : Real M&A

For $5 billion, J. Crew Group Inc.’s private-equity owners might be wise to sell the preppy clothing retailer to Uniqlo operator Fast Retailing Co.

J. Crew, acquired by TPG Capital and Leonard Green & Partners LP in 2011, may be valued that highly in a sale to the Japanese retailer or in an initial public offering, according to a person familiar with the matter. A sale at $5 billion would be the largest on record for an apparel company and would imply a revenue multiple more than three times the industry median during the past decade, according to data compiled by Bloomberg.