Investor group makes $5.8bn bid for Macy's

(Sharecast News) - A group of investors led by Arkhouse Management and Brigade Capital has made a $5.8bn run at department store operator Macy's that would take the group private, according to the Wall Street Journal. Real estate-focused investor Arkhouse Management and asset manager Brigade Capital submitted a proposal to acquire the Macy's stock they don't already own for $21.0 per share on 1 December - a 20.76% premium from its closing price at $17.39 on Friday.

Arkhouse and Brigade believe Macy's has been undervalued in public markets and has even shown a willingness to increase its offer, subject to due diligence.

Citing a person familiar with the matter, the WSJ also added that an unnamed investment bank has also provided the investors with a letter of support, indicating its ability to raise the necessary financing to push the deal over the line.

As of 1255 GMT, Macy's shares were up 20.97% in pre-market trading at $21.0 each.







Reporting by Iain Gilbert at Sharecast.com