M. Spencer Green/AP
The Chicago skyline is reflected in the exterior of Neiman Marcus on Michigan Avenue in Chicago in a file photo from 2009. The luxury retailer sold for six billion dollars on Monday.
The Chicago skyline is reflected in the exterior of Neiman Marcus on Michigan Avenue in Chicago in a file photo from 2009. The luxury retailer sold for six billion dollars on Monday. M. Spencer Green/AP
Two large investors — Ares Management LLC and the Canada Pension Plan Investment Board — have reached a deal to purchase Neiman Marcus for $6 billion, the companies said Monday. The two buyers will hold equal shares of Neiman, which is based in Dallas.
"This investment fits with our longstanding approach of accelerating growth in companies in the consumer and retail sectors," said David Kaplan, co-head of the Private Equity Group of Ares, in a news release announcing the deal.
The two large investors will take over the luxury retailer from Warburg Pincus and TPG Capital. The transaction would be finalized late this year.
"Neiman's private-equity owners TPG Capital and Warburg Pincus LLC paid about $5.1 billion for the Dallas-based retailer in 2005," reports The Dallas Morning News.
In the release announcing the purchase, Ares lists its other business holdings: "Floor & Decor, General Nutrition Centers, House of Blues, Maidenform Brands, Samsonite, Serta, Simmons, Smart & Final and 99¢ Only Stores."
Neiman Marcus says it has 79 stores, including 41 Neiman Marcus stores, two Bergdorf Goodman locations in Manhattan and 36 Last Call outlet centers, in addition to its online offerings that include the upscale Horchow housewares site.