Foot Locker, Inc. confirmed that it had made a proposal to Genesco Inc. to acquire all of the outstanding common stock of Genesco for $51 per share. In light of Genesco's recent public release, Foot Locker announced that it was no longer pursuing its proposal.
Genesco reported on Thursday that its Board of Directors had authorized the company and its advisers to explore strategic alternatives which maximize shareholder value, including a possible sale of the company. The company said it also received a conditional proposal from Foot Locker to acquire all outstanding common stock for $51.00 per share in cash, subject to due diligence.
In consultation with its financial adviser, Goldman Sachs & Co., the Board of Directors considered the proposal and, following a thorough review, unanimously rejected the proposal having concluded that it was not in the best interests of the company's shareholders.
Genesco said its Board of Directors invited Foot Locker to participate in the company's process on the same terms as other interested parties to date, but Foot Locker has declined to do so.
