All articles tagged with #arkhouse
Macy's has ended buyout talks with Arkhouse and Brigade after months of negotiations, citing issues with financing and value. The decision comes amid Macy's ongoing turnaround efforts, which include layoffs, store closures, and a shift towards online shopping. Macy's shares fell 12% in premarket trading following the announcement.
Macy's settles its proxy fight with real estate investor Arkhouse by adding two new directors to its board, bringing the company closer to a potential deal to go private. The new directors, Ric Clark and Rick Markee, were Arkhouse nominees and will be part of the committee reviewing Arkhouse's bid to buy the company. The move comes as Macy's struggles with the shift to online shopping and plans to close around 150 of its 500 stores. Arkhouse's bid to take the retailer private differs from past engagements, aiming to give executives time to streamline the business away from the public market.
Arkhouse has secured financing to take Macy's private at a bid of $5.8 billion, but has faced obstacles due to the department store retailer's lack of cooperation on due diligence. Managing partner Gavriel Kahane stated that the next steps depend on Macy's management response, as Arkhouse is prepared to take all necessary steps, including going directly to shareholders. Despite a rejected bid and refusal to enter a non-disclosure agreement, Arkhouse remains open to raising its offer if Macy's management allows diligence to begin.
Macy's Inc. has reportedly received a $5.8 billion buyout offer from an investor group including Arkhouse and Brigade Capital Management. The offer of $21 per share represents a 20.8% premium over Macy's market capitalization. The bid is seen as a potential steal, considering Macy's struggles in the retail sector. The real estate holdings of Macy's, including its flagship store in Herald Square, are believed to be the main attraction for the investor group. Macy's executives are hoping that cost-cutting measures and growth strategies will raise the company's value next year. However, the offer is unlikely to be accepted as is, and it is expected that the price will be increased.