Macy's up after report Arkhouse, Brigade Capital raising buyout offer

Nordstrom

05/07/2024 17:35

(Updates)
    ** Shares of department store chain Macy's  M.N  jump as
much as 14.2% to $20.47, highest since May 
    ** Arkhouse Management and Brigade Capital Management raised
bid to buy Macy's stock that they don't already own to about
$6.9 bln, the Wall Street Journal reported on Wednesday
    ** New proposal offers $24.80 for each Macy's share, up from
$24/share offered in March - report 
    ** If gains hold, stock set for best day since June 2024
    ** Current bid of $24.80 represents nearly 43% premium to
Macy's closing price on Dec 8, when deal talks first emerged
    ** This offer is a big jump from what they're valued at, so
it's really fascinating to see, says Suzy Davidkhanian, analyst
with eMarketer
    ** Shares of peer Kohl's  KSS.N  up ~3% while Nordstrom
 JWN.  up ~1% 
    ** Investors are probably seeing the increased bid offer and
thinking that there may be some momentum in the channel,
especially with retailers that are talking very openly about
their turnaround plan - Davidkhanian
    ** Including session losses, Macy's down nearly 3% YTD
    

 (Reporting by Pranav Kashyap, Juveria Tabassum and Anuja Bharat
Mistry in Bengaluru)
 ((Juveria.Tabassum@thomsonreuters.com))