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Men’s Wearhouse makes $1.6 billion hostile offer for Jos. A. Bank

Fremont, Calif. – The latest chapter in the continuing rivalry saga of The Men’s Wearhouse and Jos. A. Bank Clothiers, Inc. has opened with Men’s Wearhouse making a hostile cash tender offer of $57.50 per share for Jos. A. Bank. The offer, which expires on March 28, 2014, is worth about $1.6 billion.

Men’s Wearhouse also intends to nominate two independent director candidates for election to Jos. A. Bank's board of directors at its 2014 annual meeting. The nominees are John D. Bowlin, president and CEO of Miller Brewing Company, and who has held senior executive positions at Kraft Foods North America, Kraft Foods International, Inc., Oscar Mayer Food Corporation and General Foods USA; and Arthur E. Reiner, who has previously served in various leadership positions with the Macy's organization.

In November 2013, Men’s Wearhouse made an unsolicited bid of approximately $1.54 billion, or $55 per share, for Jos. A. Bank. This offer followed an unsolicited $2.3 billion bid Jos. A. Bank made in early October for Men’s Wearhouse.

"We believe that our $57.50 per share proposal to acquire Jos. A. Bank is compelling and provides substantial value and immediate liquidity to Jos. A. Bank shareholders,” said Doug Ewert, president and CEO of Men’s Wearhouse. “Although we have made clear our strong preference to work collaboratively with Jos. A. Bank to realize the benefits of this transaction, we are committed to this combination and, accordingly, we are taking our offer directly to shareholders."

 

© 2014