Ascena Acquires Ann Inc.

Ascena Retail Group (Mahwah, N.J.), which operates the Dressbarn and Lane Bryant women’s apparel chains, has agreed to acquire Ann Inc. (New York), parent to the Ann Taylor and LOFT brands, in a $2.2 billion cash and stock transaction.

Both the Ascena and Ann Inc. boards have signed off on the sale, which is still subject to regulatory approvals. It has been reported that Ann Inc. shareholders have been eager to sell the company, which has struggled with falling sales in three of the last four quarters. Ascena said it will finance the acquisition through bank debt, according to Women’s Wear Daily.