Personal equity agency Sycamore Partners is primary a bidding war to receive bankrupt J.C. Penney Corporation, the New York Article claimed Monday.
The New York-based mostly agency has designed an supply of $1.seventy five billion to the veteran retailer, in accordance to the Article. It has also proposed a merger of JCPenney with Belks, yet another seasoned retailer it had acquired in 2015, as element of the acquisition offer.
“[JCPenney] is the lifeboat for Belks, which wishes to compete with Macy’s nationally,” a person familiar with the issue instructed the Article.
Other competing bidders incorporate Canadian Hudson’s Bay Corporation with a $1.seven billion supply, and shopping mall proprietors Simon Residence Group and Brookfield Residence Partners, who have designed a joint supply of $1.sixty five billion.
1 of the Article sources said all bidders were knowledgeable that Sycamore and Belks “submitted the strongest bid to receive JCP,” although yet another extra that all bidders continue being in the blend.
JCPenney had filed for a Chapter 11 individual bankruptcy in Could, as the COVID-19 pandemic lent a key blow to an currently struggling retailer.
Reuters claimed in early June that Sycamore was holding preliminary talks with the departmental keep chain to receive it out of individual bankruptcy.
Amazon was also rumored to be thinking about buying JCPenney, along with Forever 21-owner Authentic Makes.
Sycamore’s fascination in JCPenney arrives after it before backed out of a offer to buy a fifty five% stake in L Makes subsidiary Victoria’s Top secret, proclaiming the lingerie company’s response to the COVID-19 pandemic breached their agreement.
JCPenney shares closed 2.four% lessen at $.26 on Monday.
This tale originally appeared on Benzinga.
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