Macy’s Receives $5.8bn Buyout Offer From Arkhouse And Brigade Capital

An investor group consisting of Brigade Capital Management and Arkhouse Management has offered $5.8 billion to Macy?s Inc. Macy?s is a big retailer in the United States and has a per-share value of a little more than $17. However, the offer values each retailer share at $21.

In recent times, Macy?s has struggled to keep up with its online competitors. As a result, the sales of the legacy retailer have slumped over the past year. Since the start of the year, Macy?s shares have faced a slump of 17%, as the value of each share stood at $17 on Friday.

As per reports from CNBC,

?Arkhouse, a firm that primarily targets real-estate investment, and Brigade Capital, an asset management firm, would be willing to offer a higher bid based on due diligence, the sources said. The group would already be paying a premium for the department store, which has struggled to keep up with online competitors.?

Macy?s has been struggling since last year. However, it has made several efforts to bring back its target customers to its retail stores. As a result, in October, the legacy retailer announced thirty new store locations in the United States. With this move, the retailer tried to move away from being a traditional shopping mall.

Despite various moves to bring back good sales figures, Macy?s faced a slump in sales. On a year-over-year basis, Macy?s sales dropped by 7%.

However, despite a slump in sales, Macy?s still beat Wall Street expectations in the last quarter. Hence, it expressed optimism on various occasions. The improvement in performance is mostly due to better sales of some of the brands that Macy?s Inc. owns. Some of these brands include Bloomingdale?s, Bluemercury, etc.

Continue Reading:

• 15 ways how to earn money online without investment in mobile
• How to get money using Plynk? is it legit to use? App review in 2023
• What Is Marketing Opportunity And How To Identify It For Your Business In 2023?