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Chico's Weighs Buyout While Trying to Move Beyond the Mall

  • Women’s chain previously rejected higher offer from Sycamore
  • Retailer is closing stores, moving more online to ‘rebalance’
Shoppers carry Chico's FAS Inc. bags in downtown La Jolla, California.

Photographer: Sam Hodgson/Bloomberg

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Malaise in the shopping mall is certainly no secret, with thousands of stores shutting and some familiar names disappearing. Struggling women’s apparel merchant Chico’s FAS Inc. now has a potential lifeline -- which it may throw back.

The retailer said Friday it would review an unsolicited buyout bid from Sycamore Partners, the owner of office supply giant Staples Inc. and department-store chain Belk, noting that it had previously rejected a higher offer from the private equity company.