Gymboree going private in $1.8 billion deal with Bain Capital
San Francisco Gymboree Corp. has agreed to be purchased by affiliates of private equity firm Bain Capital LLC for $1.8 billion.
Gymboree said Monday that the deal is for $65.40 per share, a 24% premium to Gymboree’s Friday closing stock price of $52.95. The retailer, based in San Francisco, currently has about 27.3 million shares outstanding.
The news did not come as a surprise, as speculation about a potential acquisition had been brewing for a few weeks.
Bain Capital’s affiliates are likely to start a tender offer shortly after an agreement is executed. The firm has committed financing from Credit Suisse and Morgan Stanley in an amount necessary to complete the acquisition. Bain Capital may push back the closing under certain circumstances in order to complete the financing, the companies said.
“Gymboree is a terrific company with incredible brand strength and a large population of extremely satisfied customers,” Jordan Hitch, Bain Capital managing director, said in a statement.
Syms loss widens in Q2 with impact of Filene’s acquisition
Secaucus, N.J. Syms Corp. reported late Thursday that it lost $10.9 million in the quarter ended Aug. 28, compared with a loss of $7.9 million in the year-ago period. The widened loss is mostly attributable to one-time charges related to Syms’ acquisition of Filene’s Basement in second quarter 2009, according to the company.
Revenues for the quarter surged 34% to $102.1 million, from $76.4 million in the prior-year quarter, reflecting the impact of Filene’s Basement.
Same-store sales increased 16% for the quarter.
Kindle arrives at Staples
FRAMINGHAM, Mass. Staples announced that the Kindle e-reader is available in all stores nationwide beginning Oct. 10.
“Kindle is just one example of a host of hot tech items customers can get at Staples this holiday season,” said Jevin Eagle, EVP merchandising and marketing at Staples. “From our hands-on displays to our knowledgeable associates, Staples makes buying technology easy any time of year.”
Staples now carries the following new Kindle devices:
* Kindle ($139.00) – Wi-Fi, 6″ diagonal * Kindle 3G ($189.00) – Free 3G + Wi-Fi, 6″ diagonal * Kindle DX ($379.00) – Free 3G, 9.7″ diagonal (available at Staples mid-November)