LB - 1 Retail Stock to Avoid No Matter What
Before the coronavirus spread throughout the U.S., things were looking up for L Brands (NYSE: LB). Private equity firm Sycamore Partners had agreed to take on a majority stake in the company's struggling Victoria's Secret brand. That meant L Brands could focus on the booming business at its other chain, Bath & Body Works.
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Two months later, Sycamore decided to cancel the deal. The silver lining in this grim news is that L Brands still is moving forward with its plan to separate the two brands. The goal is to make Bath & Body Works a pure-play public company and establish Victoria's Secret as a stand-alone business. L Brands has even hired Goldman Sachs and J.P. Morgan to explore options.