In 2011, TPG Capital LP and Leonard Green & Partners LP privatized J. Crew in a $3 billion leveraged buyout. On November 23, 2010, the company had agreed to be taken private in a $3 billion deal led by management with the backing of TPG Capital and Leonard Green & Partners, two large private equity firms. The announcement of the offer from two investment firms—including one that used to own J. Crew—came as the retailer reported that its third-quarter net income fell by 14 percent due to weak women's clothing sales. The company also lowered its guidance for the 2010 year. Under the deal as proposed, J. Crew shareholders would receive $43. 50 per share in cash, representing a 16 percent premium to the stock's closing price the prior day of $37. 65. CEO Mickey Drexler, the former Gap Inc. chief credited with turning J. Crew around since coming aboard in 2003, remained in that role and retained a "significant" stake in the company (as of September 2010, he holds 5. 4% of outstanding shares). TPG, one of the investment firms in the deal, took a majority stake in J. Crew Group Inc. in 1997 and remained majority shareholder until the company went public in 2006.