The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
DALLAS, United States — Neiman Marcus Inc., the luxury retailer that filed for an initial public offering in June, is close to an agreement to sell itself to Ares Management LLC and the Canada Pension Plan Investment Board for $6 billion, two people with knowledge of the matter said.
A deal with Neiman’s private-equity owners, TPG Capital, Warburg Pincus LLC and Leonard Green & Partners LP, could be announced as soon as tomorrow, said one of the people. An agreement hasn’t been reached yet and the talks could still fail, said the people, who asked for anonymity because the negotiations are private.
Neiman’s owners have been considering an IPO if they don’t draw a bid that meets their expectations, people familiar with the plan said last month. Neiman runs 41 stores under the same name across the U.S. and two Bergdorf Goodman department stores on New York City’s Fifth Avenue, according to its IPO filing.
TPG and Warburg paid about $5.1 billion for the Dallas- based retailer in 2005. Revenue hasn't returned to the level seen before the 2008 financial crisis at Neiman, as shoppers have been slow to return to stores. Luxury spending in the Americas grew 5 percent on a constant-currency basis in 2012, less than half the 13 percent gain of the previous year, according to Bain & Co. estimates.
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Gabrielle de Papp, a spokeswoman for Neiman, didn’t immediately return a phone call and e-mail seeking comment.
The Wall Street Journal reported the negotiations earlier.
By Matthew Monks; Erik Schatzker; Editors: James Callan, Larry Edelman
From analysis of the global fashion and beauty industries to career and personal advice, BoF’s founder and CEO, Imran Amed, will be answering your questions on Sunday, February 18, 2024 during London Fashion Week.
The State of Fashion 2024 breaks down the 10 themes that will define the industry in the year ahead.
Imran Amed reviews the most important fashion stories of the year and shares his predictions on what this means for the industry in 2024.
After three days of inspiring talks, guests closed out BoF’s gathering for big thinkers with a black tie gala followed by an intimate performance from Rita Ora — guest starring Billy Porter.