Nordstrom has rejected the Nordstrom family group’s current effort to take over the company and take the department store retailer private.
The group, consisting of members of the Nordstrom family— company co-presidents Blake Nordstrom, Peter Nordstrom, and Erik Nordstrom, president of stores James Nordstrom, Chairman emeritus Bruce Nordstrom, and Anne Gittinger— intended to submit a proposal to purchase all of the outstanding shares of common stock of the company not already owned by the group, and approximately 21% of the shares owned by the Nordstrom family members in the group, for $50 per share in cash.
The special committee of the board of directors for the retailer stated that it, “has reviewed the group’s indicative acquisition proposal, in consultation with its financial advisor and legal counsel, and has determined that the price proposed is inadequate. The special committee has directed its advisors and management not to provide further due diligence information to the group.”
The committee’s statement added, “Furthermore, 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.”