New Look has recruited Wall Street investment bank JP Morgan to work on a stock market listing that could value the fashion retailer at as much as £2bn.
The move comes five years after New Look’s owners were about to take the company public, but aborted plans amid difficult market conditions.
Sky News reported that JP Morgan is working alongside Goldman Sachs, which is working with New Look to identify other potential investors for the company.
Private equity firms Apax and Permira bought a majority stake in New Look for £800m in 2004.
Earlier this month, chief executive Anders Kristiansen has hinted that the retailer is “strong enough” to make another attempt at a stock market flotation, but said the decision rests with its private equity owners.
The retailer reported a 1.7% drop in sales for the three months to December 27 as the warm autumn weather hit the retailer. Sales in the UK dropped 1% for the period. However, online sales soared 28.6% during the quarter.
The company said it will continue to focus on menswear in 2015, and expects low double-digit growth in the category this year.
It is also continuing its push into China and plans to open 50 stores there in its next financial year, which starts in April.
New Look has a current retail portfolio of 803 shops worldwide.