NEW YORK —The owners of JC Penney have made an offer to buy Kohl’s for approximately $8.6 billion, according to a report in The New York Post.
Simon Property Group and Brookfield Asset Management, which purchased JC Penney out of bankruptcy in December 2020, offered to buy Kohl’s at $68 per share, the Post said, citing sources close to the talks.
Other sources told The Post that JC Penney’s owners would run the two department stores as separate brands while streamlining operations to cut costs.
Kohl’s, Simon Property Group and Brookfield Asset Management could not be reached for immediate comment.
This is not the first offer for Kohl’s, which has been pounded by activist investor group Macellum Advisors, urging Kohl’s to put itself up for sale and accept its slate of board nominees. Earlier this month, Franchise Group reportedly offered $69 per share for Kohl’s, an offer valued at roughly $9 billion, according to a report from Reuters. Franchise Group owns The Vitamin Shoppe; Buddy’s Home Furnishings, a rent-to-own operation; and W.S. Badcock Corp., a furniture retailer. And Hudson’s Bay Company also recently made an offer at $70 per share, according to a Reuters report.
Late last week, Kohl’s released a presentation detailing its progress on its strategy and initiatives to maximize shareholder value. It said its “high caliber” board has the right experience to oversee Kohl’s strategy while reviewing potential company suitors. It also said that Macellum’s proposed slate of board members was “unqualified and inexperienced.”
Editor-in-Chief Allison Zisko first joined HFN in 1998 and spent many years covering the tabletop category before widening her scope to all home furnishings. In her current role, she oversees all aspects of HFN, including its print and digital products, and represents the brand at home and abroad through presentations, panel discussions and HFN’s podcast, The Inside Scoop.