Canada's Comark retail chain up for sale: sources
By Olivia Oran and Luisa Beltran
(Reuters) - Canada's Comark apparel chain, which operates the Ricki's, Bootlegger and cleo stores, is up for sale in a deal that could fetch up to $400 million, according to four sources with knowledge of the process.
The process, which is being run by Oppenheimer, is in the final stages, two of the sources said.
Comark, which is backed by private equity firm Karp Reilly, was established in 1976 and has more than 300 stores in malls across Canada. It has roughly $50 million in annual earnings before interest, taxes, depreciation and amortization (EBITDA), one of the sources said. Based on multiples of other deals in the retail sector, Comark could be worth $400 million.
Oppenheimer declined to comment. Karp Reilly could not be reached for comment.
Greenwich, Connecticut-based Karp Reilly has been actively looking to exit its portfolio companies.
Last August, the firm sold closeout retailer Ollie's Discount Warehouse to private equity firm CCMP Capital Advisors LLC for around $500 million.
It is also in the process of trying to sell casual dining chain Miller's Ale House, two sources previously told Reuters.
(Reporting By Olivia Oran and Luisa Beltran of PeHUBb; Editing by Peter Galloway)
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