US: Men's Wearhouse submits higher bid for Jos A Bank
In a statement today (6 January), Men's Wearhouse said it has offered to acquire the company for $57.50 per share, higher than its November offer of $55.
The hostile bid comes just days after the smaller rival upped its buyout defenses and is the latest move in a long-running battle between the two retailers.
Men's Wearhouse CEO Doug Ewert said its latest proposal to acquire Jos A Bank is "compelling" and provides "substantial value" and immediate liquidity to the firm's shareholders.
"Although we have made clear our strong preference to work collaboratively with Jos A Bank to realise the benefits of this transaction, we are committed to this combination and, accordingly, we are taking our offer directly to shareholders," Ewert said.
Last month, Jos A Bank declined a takeover offer by Men's Wearhouse for $55 per share in cash, claiming it "significantly undervalued" the business and its near and long-term potential.
The counter move by Men's Wearhouse came a week after Jos A Bank dropped a $2.3bn takeover offer for its rival.
On Friday (3 January), Jos A Bank strengthened its acquisition-defense plan by lowering the trigger for its shareholder rights plan to 10% from 20%.
The Global market review of Workwear which was first published by just-style in 2010 proved to be one of our best selling reports to date. Hardly surprising then, that there has been much anticipation...
Men's Wearhouse has closed its acquisition of US men's apparel and footwear business Jos A Bank Clothiers following a long-running battle by the firm to buy its rival....
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