Ann Inc jumps on $2bn takeover offer from AscenaRetail

Shares in Ann Inc jumped 21.6% ahead of the bell on Monday after the women’s apparel retailer received a takeover offer from sector peer AscenaRetail Group worth $2bn.

Under the terms of the proposed takeover, Ann shareholders receive $37.34 in cash and 0.68 of Ascena shares for each Ann share.

The cash and stock deal would value Ann shares at $47 each, representing a 21% premium on Friday’s closing price, Ascena said in a statement on Sunday, adding the merger was expected to be finalised in the second half of 2015.

As of 14:37 on Monday, Ascena shares were up 7.71% to $15.29, while Ann shares jumped 21.6% to $47.06.