Investor Buys 17% Stake in Whole Foods
Austin, Texas Whole Foods Market announced on Wednesday that private-equity firm Leonard Green & Partners is buying a 17% stake in the company for $425 million.
Under the terms of the deal, Leonard Green, through its affiliate Green Equity Investors V, will acquire preferred stock that pays an 8% dividend and is convertible into common stock.
“We view it as a strong vote of confidence in our business model and our long-term growth prospects, despite the current economic environment,” said John Mackey, chairman, CEO, and co-founder of Whole Foods Market. “This investment, combined with our strong cash flow from operations, gives us the financial flexibility to manage through these difficult economic times while continuing to prudently invest in our long-term growth.”
The transaction is expected to close within 30 days.
Report: Target launches new fashion program
NEW YORK According to reports, Target is launching a new fashion program, Target Designer Collaborations, with an apparel line by Alexander McQueen.
The McQueen collection, called McQ Alexander McQueen for Target will be available in stores next spring.
Target’s fashion push comes shortly after the company announced that it would limit store openings and would consider a proposal for the spin-off of its real estate business.
Fresh & Easy to open stores in Bakersfield, Calif.
BAKERSFIELD, Calif. Fresh & Easy Neighborhood Market announced it will open its first two stores in Bakersfield, Calif. on Dec. 3. Fresh & Easy currently has five announced locations in Kern County.
“At Fresh & Easy, we offer fantastic products at incredible prices so you don’t have to compromise on what you feed your family,” said Fresh & Easy ceo Tim Mason. “We look forward to bringing great jobs and quality, affordable food to neighborhoods in Kern County.”