DSW to acquire Retail Ventures
Columbus, Ohio — DSW said Tuesday that it will acquire its largest shareholder Retail Ventures and turn it into a wholly owned subsidiary, helping to simplify its relationship.
According to the shoe retailer, the two companies signed a merger agreement, under which DSW will give stockholders 0.435 of a DSW share for each share they hold of Retail Ventures.
Retail Venture holds a 62% stake in DSW.
The companies are slated to hold a conference on Wednesday to discuss the deal with investors.
DSW also announced that its fourth-quarter revenue rose to $468.5 million from $402.6 million. Same-store sales were up 14.9% for the quarter, which ended Jan. 29.
Jones Group reports revenue rise in Q4
New York City — The Jones Group reported Wednesday that revenues for the fourth quarter rose 12.5% to $874 million, from $777 million in the year-ago period.
The company attributed the fourth quarter performance to the June 2010 acquisition of the Stuart Weitzman business, as well as increases in various business segments.
Jones Group closed 44 retail locations in the fourth quarter to end the year with 803 locations (which includes acquired Stuart Weitzman locations). The company closed 194 locations in 2010.
Stater Bros. profit decreases in fiscal Q1
San Bernardino, Calif. — Supermarket retailer Stater Bros. Holdings said Wednesday that net income for the quarter ended Dec. 26 dropped to $1.3 million, compared with net income of $6.7 million in the year-ago period. The prior year results included an after-tax gain of $4.7 million.
Sales declined 2.3% to $899 million in the first quarter. Same-store sales also decreased 2.3%.