Women's fashion retailer Charlotte Russe Holding has rejected a buyout bid for the company and expressed confidence in its new leadership team.  

The company addressed a letter to bidders KarpReilly Capital Partners and HIG Capital in response to their unsolicited proposal, to acquire all of the company's outstanding shares at between US$9.00 and $9.50 per share - a deal which values the firm at up to $199m.

Charlotte Russe said in the letter: "After careful review and in consultation with our legal and financial advisors, our board of directors has unanimously determined that your unsolicited proposal of November 12, 2008, is definitively not in the best interests of Charlotte Russe's shareholders."

The company announced it was to evaluate the bid earlier this month, when it reported a Q4 net loss of $6.65m, from profits of $8.43m in the prior year period.

It also released details at the time of a new management team tasked to "reinvigorate growth and profitability" at the chain.

Their tasks include developing brand positioning, merchandising assortment, inventory management, real estate strategy and capital utilisation at the company.

Yesterday's letter went onto say: "On November 12, we announced the completion of an extensive search process and the hiring of a new leadership team that has the full confidence of the board."