JOSB, MW: Jos. A. Bank Rejects Latest Men’s Wearhouse Offer

by Christopher Freeburn | February 28, 2014 9:38 am

josabanklogo JOSB, MW: Jos. A. Bank Rejects Latest Mens Wearhouse Offer[1]On Thursday, Jos. A. Bank Clothiers (JOSB[2]) turned down the latest acquisition proposal from rival Men’s Wearhouse (MW[3]), but signaled that it would consider a higher bid. The news sent JOSB stock up almost 4% in Friday morning trading, while MW stock climbed more than 4%.

JOSB shares gained after the company said its board had authorized talks with MW regarding a potentially higher purchase price for JOSB. In addition to the talks, JOSB said it would permit MW to conduct a restricted level of due diligence, if certain conditions were agreed to, and was willing to talk with MW about the structure of a potential deal, Reuters notes.

Earlier this week, MW hiked its bid for JOSB[4] to $63.50 a share. It had previously offered $57.50 per share for JOSB. MW also noted that it would be willing to raise the bid to $65 a share in exchange for a look at JOSB’s books.

Two weeks ago, JOSB said it would spend $825 million to acquire outdoor apparel retailer Eddie Bauer[5], a move meant to complicate a hostile takeover by MW.

The bidding war between JOSB and MW was kicked off in October[6] when JOSB extended a $2.3 billion offer to acquire MW. That bid was declined and MW has since made several offers to acquire JOSB.

JOSB stock has climbed more than 50% over the past six months, while MW stock has gained more than 30%.

More JOSB, MW News:

  1. [Image]:
  2. JOSB:
  3. MW:
  4. hiked its bid for JOSB:
  5. to acquire outdoor apparel retailer Eddie Bauer:
  6. was kicked off in October:
  7. JOSB: Why Men’s Wearhouse Is So Desperate to Buy Jos. A. Bank:
  8. JOSB Stock: Jos. A. Bank Investors Like Latest Men’s Wearhouse News:
  9. Jos. A. Bank Isn’t a Good Fit for Men’s Wearhouse:

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