Canadian department store chain Hudson’s Bay Co. is the likely frontrunner in a bidding war for discount department store Kohl’s, a source familiar with the matter told The Post.
Kohl’s has received “several” expressions of interest in acquiring the chain, the company said on Monday.
The proposals, submitted March 16, are “non-binding” and did not include any funding commitments, the Menomonie, Wisconsin-based retailer said.
Toronto-based HBC, which owns Saks Fifth Avenue and Hudson’s Bay Co., could bring Kohl’s to Canada. Other prospects are reportedly private equity firms Sycamore Partners and Leonard Green Partners.
All three declined to comment to The Post about an interest in Kohl’s.
Kohl’s came into play, hiring Goldman Sachs to lead a potential sale process after activist investors Macellum and Engine Capital urged the company to put itself up for sale and overhaul its board, arguing that the company was underperforming.
Kohl’s rejected two takeover bids earlier this year, including one from Sycamore, and then used what it called a “poison pill” to stave off a hostile takeover.
In a letter to shareholders Monday discussing Macellum’s offers and efforts to acquire its board, Kohl’s said, “To ensure we are maximizing shareholder value, your board is evaluating alternatives through a deliberate and ongoing.” Dialogue with potential bidders. This process is robust and measured against the value creation potential of our compelling standalone plan. Regardless of the outcome of this process, we are excited about the many opportunities Kohl’s offers.”
The company is likely to make a decision on the current offerings at its annual meeting on May 11, a source familiar with the process told The Post.
Kohl’s shares fell less than 1% to $62 on Monday.
https://nypost.com/2022/03/21/saks-fifth-avenue-owner-likely-front-runner-in-bid-for-kohls-source/ Saks Fifth Avenue owners likely to be front runners on offer for Kohl’s: source