Steven Madden explores options

LONG ISLAND CITY, N.Y. Shoe maker Steven Madden Ltd. said on Friday that it had hired an investment bank after receiving takeover propositions from unnamed parties.

The company said it had formed a review committee, comprised of three independent directors. The committee hired Peter J. Solomon & Co. as its financial adviser. Steven Madden said there were no assurances that a deal would be reached.

Besides the takeover approaches, it has also been said that some investors had wanted the company to get a leg up on competition by increasing shareholder value. Its stock has dropped about 44% so far this year, giving it a market capitalization of about $400 million.

Earlier this week, Steven Madden cut its full-year sales and earnings outlooks, due in part to a weak market for consumer spending and a limited number of footwear trends to pursue. The company previously said full-year results would suffer because of the discontinuation of its Rule, Jump and l.e.i brands.

At one point, the company said it aimed to expand its products by launching a new line of dresses and offering footwear under various brands.

Shares of Steven Madden jumped $2.57, or 13 %, to $22.26 in morning trading on NASDAQ.