Neiman Marcus Sold to Ares, Canada Pension Plan Investment Board
September 11, 2013,
TORONTO-Ares Management, co-owner of mattress manufacturers Serta and Simmons, has allied with the Canada Pension Plan Investment Board (CPPIB) to acquire Neiman Marcus Group from private-equity firms TPG Capital and Warburg Pincus for $6 billion.
Under the terms of the deal, Ares and CPPIB will hold an equal interest in Neiman Marcus, and the retailer's management will keep a minority stake. A joint statement from the three companies said the deal is expected to close in the fourth quarter.
David Kaplan, Ares' senior partner and co-head of the firm's private equity group, said, "This investment fits with our long-standing approach of accelerating growth in companies in the consumer and retail sectors." Kaplan cited Ares' holdings in Serta, Simmons, 99? Only Stores, General Nutrition Centers and other similar companies.
Currently, Neiman Marcus operates 79 stores, including 41 Neiman Marcus locations, two Bergdorf Goodman stores in Manhattan and 36 Last Call outlet centers. Its online retailing unit includes these nameplates plus the Horchow brand name.
Other Articles By Author
HFN Launches Interactive Idea Book
HFN's DIGITAL EDITION
COVER STORY: Bloomie's Home Makeover
The luxury department store retailer unifies its home floors at its flagship store on 59th Street in New York City and modernizes the shopping experience.
ALSO IN THIS ISSUE:
- The American Makers - Retailers grapple with the rewards and challenges of selling American-made home furnishings.
- Category Trends: Tabletop - The newest cocktail and dining trends influence barware and serveware design.