Nordstrom Family’s Bid to Buy the Retailer Is Rejected
In a letter to the special committee on Monday, the family group said going private would “ensure
that the company has the flexibility to successfully navigate a challenging retail landscape at a critical time when the public market for retail stocks is highly volatile and increasingly focused on short-term results and risks.”
Nordstrom has managed to avoid some of the pitfalls of other clothing and apparel stores by taking a conservative approach to opening new stores.
In a statement late Monday, the committee said the cash offer of $50 a share was “inadequate,”
and it threatened to cut off further discussions with the family group, which includes the company’s co-presidents and a granddaughter of one its founders.
A special committee of the retailer’s board rejected a roughly $8.4 billion offer
from the Nordstrom family to buy the company, saying the price was too low.
“Unless the group can promptly and substantially improve the price it is proposing to pay for the
company, the special committee intends to terminate discussions,” according to the statement.
Known for its stylish high-end clothing and successful discount stores, Nordstrom has been seeking a respite from the public stock market
and its harsh scrutiny of brick-and-mortar retailers.