Shares Macy’s (M) are up 20% on media reports that the department store chain has received a $5.8 billion U.S. takeover offer from a group of investors.
According to multiple media reports, Arkhouse Management, a real estate focused investing firm, and global asset manager Brigade Capital have made a proposal to acquire Macy’s and take the company private.
The group reportedly already has a large stake in Macy’s and has offered to pay $21 U.S. a share to acquire the company outright.
Macy’s stock jumped as high as 20% in premarket trading on reports of the takeover, though it was last up 19% and trading at $20.73 U.S. per share.
Founded in 1929, Macy’s today owns the department store chains Bloomingdale’s and Macy’s, as well as the beauty store chain Bluemercury, all of which operate flagship stores in New York City. The company currently has 722 locations in the U.S.
Before today (Dec. 11), Macy’s stock had declined 14% in 2023 to trade at $17.39 U.S. per share.
Through five years, the stock was down 43% as consumers shift away from department stores and to online shopping.
Macy’s stock had traded at an all-time high of $70 U.S. per share back in 2015 but has been in decline for nearly a decade now.