Dive Brief:

• San Francisco-based private equity firm Golden Gate Capital is in one-on-one talks to acquire Ann Inc. in a deal that could value the retail company at $2 billion, according to sources cited by CNBC. The companies haven’t commented.

• Ann Inc.’s brands, including flagship Ann Taylor, Loft, and Lou & Grey, have struggled of late, forced into heavy promotions in the face of lower consumer spending and increased competition.

• Golden Gate has invested in several retail companies include Payless ShoeSource, Eddie Bauer, and jewelry retailer Zale, and pursued a failed bid for Men’s Wearhouse. 

Dive Insight:

Ann Inc., its signature Ann Taylor brand once a go-to retailer for women’s work wear, has been struggling as mall traffic has shifted and consumers have turned to fast-fashion and e-commerce. Golden Gate has a record in retail and is active in the management of the brands it invests in to help turnarounds, something Ann Inc. could use.