Private equity chain Sycamore Partners and retail conglomerate Franchise Group have submitted bids to acquire Kohl’s, sources told the Wall Street Journal. Both offers were well below amounts the company turned down earlier this year.
The WSJ reported that Sycamore Partners reportedly offered a price in the mid-$50s a share, while Franchise Group offered around $60 a share.
Earlier this year, Kohl’s indicated it wanted a price of at least $70 a share after being urged by Engine Capital in early December 2021 and then by Macellum Advisors to consider a sale. About two weeks ago, on its first-quarter conference call, Kohl’s CEO Michelle Gass said final and fully financed bids from possible buyers were expected in the coming weeks.
A source told CNBC Friday that the negotiations have been lengthy because of difficulty securing financing in current uncertain market conditions. Multiple sources told The New York Post earlier that day that Kohl’s could push back the bid deadline because of the lowball offers.
