Neiman Marcus Sells
The famous premier retail store Neiman Marcus has made a big splash in the news nationwide, announcing that it was planning on selling out to a privately owned company. For the “bargain price” of a mere $5.1 billion, the new owners of Neiman Marcus will be Texas Pacific Group and Warburg Pincus LLC, a pair of private equity firms.
This sale covers the cost of all outstanding Class A and Class B stock shares at $100 each (as of the date of the signing of the agreement, shares were valued at $98.32). This is one of many acquisitions of large companies in the news recently, following other buyouts such as Kmart’s purchase of Sears for $11 billion. Macy’s and Bloomingdale’s owner, Federated, was also in the news recently with their $11 billion purchase of competitor May Department Stores, as was the buyout of Toys R Us by a group of investors for $6.6 billion.
Neiman Marcus is only one in a trend of mergers and sales. The luxury retailer owns and operates 35 stores under its original name in twenty states, as well as two more Bergdorf Goodman stores in New York City. The difference in the Neiman Marcus sellout in comparison to these other retailers is that it is not suffering in sales. The other merchants were in danger of going into bankruptcy and were sold in an attempt to stay afloat. Neiman Marcus signed the deal at a peak in sales revenue.
This type of sale in the news simply proves that the face of retail is changing. Capital is shifting, even when there is no lack of funds for a company. Neiman Marcus has proven that a company doesn’t have to be floundering to put its goods out there on the market.
- Contact Information
- Tom Coleman
- Shopping Mall Guide
- Contact via E-mail
This news content may be integrated into any legitimate news gathering and publishing effort. Linking is permitted.
News Release Distribution and Press Release Distribution Services Provided by WebWire.