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Saks Fifth Avenue owner likely front-runner in bid for Kohl’s: source

Canadian division retailer chain Hudson’s Bay Co. is the likely front-runner in a bidding conflict for price range division retailer Kohl’s, a source acquainted with the matter advised The Post.

Kohl’s has acquired “multiple” expressions of curiosity to accumulate the chain, the company stated on Monday.

The proposals, which have been submitted on March 16, have been “non-binding” and didn’t embrace commitments of financing, the Menomonie, Wisconsin-based retailer stated.

Toronto primarily based HBC, which owns Saks Fifth Avenue and Hudson’s Bay Co. might convey Kohl’s to Canada. Other events are reportedly personal fairness corporations Sycamore Partners and Leonard Green Partners.

All three declined to remark to The Post on an curiosity in Kohl’s.

Kohl’s got here into play, hiring Goldman Sachs to steer a possible gross sales course of, after activist buyers Macellum and Engine Capital urged the company to place itself up for sale and to revamp its board, arguing that the company is underperforming.

A Kohl's shopping cart on the floor in a story.
The Canadian-based Hudson’s Bay division retailer is among the many bidders for Kohl’s.
REUTERS

Kohl’s rejected two acquisition provides earlier this year, together with one from Sycamore, after which applied a so-called ‘poison pill’ to fend off a hostile takeover.

In a letter to shareholders on Monday addressing the bids and an effort by Macellum to take over its board, Kohl’s stated: “To ensure we are maximizing shareholder value, your Board is reviewing alternatives through an intentional and ongoing dialog with potential bidders. This process is robust and will be measured against the value creation potential of our compelling standalone plan. Regardless of the outcome of this process, we are excited about the many opportunities ahead for Kohl’s.”

The company will likely decide concerning the present provides at its May 11 annual meeting, a source acquainted with the method advised The Post. 

Kohl’s shares are down lower than 1% to $62 on Monday.

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