10 Updates
Jos. A. Bank, Men's Wearhouse Play Hard To Get But A Deal Needs To Happen
Photo Credit: Forbes Business

Jos. A. Bank, Men's Wearhouse Play Hard To Get But A Deal Needs To Happen

Dec 23 2013, 1:41pm CST | by

How many times will Jos. A. Bank and Men's Wearhouse say “no” to one another before one of them says “yes” to a merger? The men’s retailers have now each rejected takeover offers from the other...

Filed under: news

 
 
 

30 weeks ago

Jos. A. Bank, Men's Wearhouse Play Hard To Get But A Deal Needs To Happen

Dec 23 2013, 1:41pm CST | by

How many times will Jos. A. Bank and Men's Wearhouse say “no” to one another before one of them says “yes” to a merger?

The men’s retailers have now each rejected takeover offers from the other over the last 10 weeks.

The latest rebuff came today when Jos. A. Bank rejected a $1.5 billion acquisition deal from its larger competitor, Men’s Wearhouse.

Robert N. Wildrick, chairman of Jos. A. Bank, said , “Our Board undertook a thorough review and determined that the per share consideration in the proposal made to us by Men’s Wearhouse was simply not in the best interest of our shareholders.”

Men’s Wearhouse said it was caught off guard by the rejection.

“Given Jos. A. Bank’s repeated expressions of interest in engaging in good faith discussions about a possible combination with Men’s Wearhouse, we are surprised that Jos. A. Bank has rejected our proposal,” the company said in a statement today.

The November 26 per share offer from Men’s Wearhouse was $55, a nearly 9% premium over the price of Jos. shares at the time. In the roughly three weeks since the offer shares of Jos. were up 13%, but fell today after it rejected of the deal.

The rejection by Jos. is just the latest in the M&A courting games played by both retailers.

Back in early October it was Men’s Wearhouse rejecting a takeover bid from its smaller rival; in that deal Jos. A Bank made a$2.3 billion bid for Houston-based Men’s Wearhouse but failed.

So what’s with all the back and forth?

The two men’s retailers seem to need each other to grow their customer base but neither appears to be willing to give in to the other.

Men’s Wearhouse could benefit from a deal with Jos. A. Bank which claims its customers are bigger spenders with higher annual incomes. Men’s Wearhouse tends to cater to middle-income, younger males. Merging the two could allow it to serve a broader demographic.

Jos. A. Bank is much smaller with 602 stores compared to Men’s Wearhouse’s 1,143. The latter reported $2.5 billion in sales in 2012 (up 4%) compared to $1 billion for Jos which was up 7%. Net income was $132 million and $80 million respectively.

Both companies seem to want to make a deal happen neither can agree on which one should run a combined entity. Men’s Wearhouse would like to see its executive team in charge, and Jos. its own.

What happens next? It looks like Men’s Wearhouse is looking to strengthen its deal in hopes of winning the battle.

“While it is our strong preference to work collaboratively with Jos. A. Bank to realize the benefits of this transaction, we are continuing to carefully consider all of our options to make this combination a reality, including nominating director candidates at Jos. A. Bank’s next annual meeting of shareholders,” the company said in a statement today.

Source: Forbes Business

 
Update
10

6 weeks ago

RM47mil KWSG contributions still unclaimed

Jun 9 2014 7:54am CDT | Source: Business Times Malaysia

Cambodia's Famous Battambang Circus
KUALA LUMPUR: About RM47 million of contributions in the Teachers Provident Fund (KWSG) still remain unclaimed, the Dewan Rakyat was ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
9

6 weeks ago

Gold shop lost almost RM1mil

Jun 9 2014 3:50am CDT | Source: Business Times Malaysia

Newcastle United Training Session
KANGAR: A gold shop owner lost almost RM1 million after after the safe on in his shop was broken into by rob ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
8

6 weeks ago

Motion to debate MAS losses in Dewan Rakyat rejected

Jun 9 2014 3:39am CDT | Source: Business Times Malaysia

Federal Aviation Administration Bans All US Flights To Israel
KUALA LUMPUR: AN emergency motion to debate the losses incurred by Malaysia Airlines last year, amounting to RM1.2 billion was rej ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
7

6 weeks ago

MH370 Tragedy: Hisham: RM27.6 mil spent on 1st phase of SAR

Jun 9 2014 2:11am CDT | Source: Business Times Malaysia

KUALA LUMPUR: Malaysia spent some RM27.6 million in its first phase of the search operations for missing Malaysia Airline flight MH370, said Acting Transport Minister, Da ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
6

6 weeks ago

9.1m litres of diesel seized in a month

Jun 8 2014 1:11am CDT | Source: Business Times Malaysia

INDIA-CHINA-DIPLOMACY-TRADE
PUTRAJAYA: The Domestic Trade, Cooperatives, and Consumerism ministry has seized some 9.1 million litres of diesel and property worth RM58 million since mounting ‘Operasi Diesel Selatan’ in the southern stat ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
5

6 weeks ago

Girl, 9, awarded RM2.78m compensation for medical negligence

Jun 6 2014 4:56am CDT | Source: Business Times Malaysia

Government Weekly Cabinet Meeting
KUALA LUMPUR: A nine-year-old girl who suffered brain damage during her birth at a government hospital was awarded over RM2.78 million ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
4

6 weeks ago

Malaysia's total trade in April up 12pc

Jun 5 2014 11:52pm CDT | Source: Business Times Malaysia

KUALA LUMPUR: Malaysia's total trade in April 2014 rose by 12 per cent from a year ago to RM123.86 billion due to growing trading activities, International Trade and Industry Minister Da ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
3

7 weeks ago

Works Ministry to spend RM20m for upgrading works at 50 accident black spots

Jun 4 2014 11:35pm CDT | Source: Business Times Malaysia

Iskandar Johor Open - Previews
JOHOR BARU: The Works Ministry will implement upgrading works at 50 accident prone locations in the country that have been identified this year involving an allocation of ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
2

7 weeks ago

Najib launches loan scheme for Ramadan traders

Jun 4 2014 10:24pm CDT | Source: Business Times Malaysia

EurAsia Cup presented by DRB-HICOM - Day One
PUTRAJAYA: Prime Minister Datuk Seri Najib Razak today launches RM45 million Ramadan Bazaar Schem ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
1

7 weeks ago

Residents bring up objection against Kidex to Suhakam

Jun 4 2014 4:49am CDT | Source: Business Times Malaysia

PETALING JAYA: A group of 20 Petaling Jaya residents held a meeting with the Human Rights Commission of Malaysia (Suhakam) over their objection against the proposed RM2.2 billion Kinrara Damansara S ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

OPEC daily basket price closes lower
Vienna, July 24 (IANS) The basket of 12 crude oils of the Organization of Petroleum Exporting Countries (OPEC) stood at $105.30 a barrel Wednesday, against $105.74 Tuesday, according to the OPEC Secretariat.
 
 
Pakistan denies breaching Kashmir truce
Islamabad, July 24 (IANS) Pakistan Thursday denied New Delhi's allegations that its military was violating the ceasefire in Jammu and Kashmir in a bid to push militants into the Indian state.
 
 
Husband makes wife's 'sexual rejection' list
London, July 24 (IANS) Next time when you refuse sex to your husband, hide all papers first. A man has prepared a 'sexual rejection' spreadsheet - in three columns - jotting down excuses his wife made over a course of six weeks.
 
 
Algerian plane with 119 on board missing
Algiers, July 24 (IANS) An aircraft belonging to Algeria's national airline, Air Algerie, with 119 people on board, disappeared early Thursday, 50 minutes after takeoff from Ouagadougou Airport in Burkina Faso, media reported.
 
 
 

Latest from the Network

India women beat Canada 4-2 in CWG hockey
Glasgow, July 24 (IANS) The Indian women's hockey team beat Canada 4-2 in the opening match of the Commonwealth Games here Thursday. The match started in high momentum with both teams going on the attack immediately....
Read more on Sport Balla
 
Google, Apple And Facebook Are In The Clear. So Why The Angst?
When Google reported its earnings last week eMarketer ran an article that showed how Google along with Facebook accounted for over 72% of the increased ad spend in mobile in 2013, and that they were going to surpass...
Read more on Apple Balla
 
Why Are Stocks Still Rising? Is This A Bubble?
Investors often ask me, “why is the stock market still going up after five years?” They think it must mean ‘prosperity is ahead.’ Actually, it’s largely due to financial engineering: stock buybacks. It’s important to...
Read more on Apple Balla
 
CWG: Indian judoka Chana settles for silver
Glasgow, July 24 (IANS) Indian judoka Navjot Chana had to settle for the silver medal after he lost the final bout of the men's -60kg category to England's Ashley McKenzie in the 2014 Commonwealth Games at the Scottish...
Read more on Sport Balla
 
Ford Plans to Tap Africa, Middle East Market
Ford Motors has outlined an aggressive plan to accelerate the activities of its newest business unit, the Middle East and Africa. Leveraging its One Ford Global Portfolio, the company will launch at least 25 new...
Read more on Auto Balla
 
Shushila wins India's third medal at CWG
Glasgow, July 24 (IANS) Judoka Shushila Likmabam won India its third medal on the opening day of the 20th Commonwealth Games, settling for the silver in the final of the women's -48kg category here Thursday. Kimberley...
Read more on Sport Balla
 
WTF of the week: Apple could be ‘obsolete’ in 2-3 years
At some point in the future, Apple will no longer be the consumer technology giant it is today. It will become obsolete. Its products will no longer be trendy. Other companies will innovate and drive Apple out of...
Read more on Apple Balla
 
CWG: Weightlifters Sanjita wins gold, Mirabai silver for India
Glasgow, July 24 (IANS) India opened its medal count in CWG with Manipuri girls Sanjita Khumukcham and Mirabai Chanu Saikhom winning the gold and silver, respectively, in the women's 48kg category of weightlifting...
Read more on Sport Balla
 
Here’s yet another way the iPhone 6 is messing with Samsung
Samsung has already started making fun in a TV commercial of the unreleased iPhone 6, telling potential buyers that its Android handsets had bigger displays for quite a while in an obvious attempt to kill the iPhone 6...
Read more on Apple Balla
 
By The Numbers: How Many iPhone 6's Is Apple Planning To Sell
It has been well publicized from a Wall Street Journal article that Apple has asked its suppliers to build between 70 to 80 million iPhone 6’s by the end of the year vs. the 50 to 60 million that were planned for last...
Read more on Apple Balla