Apollo seeks stake in Zale

Irving, Texas Private-equity firm Apollo Management has submitted a proposal to buy a stake in struggling jewelry chain Zale Corp., according to a Wall Street Journal report.

The Apollo proposal is one of several proposals submitted to Zale since the company hired investment bank Peter J. Solomon Co. on Feb. 9 to advise it on its strategic options.

Apollo would insert its own management team as part of the deal, according to the report. Leading that effort would be former Zale chief executive Robert DiNicola, who was proposed as an executive chairman of the Zale board with operating responsibility. The team would most likely include Pamela Romano, a former president of the Zale division.

Zale CFO Matt Appel said the company couldn't comment.

Apollo has deep connections to Zale, having owned a minority stake in the jeweler for several years in the 1990s.