Nordstrom, the century-old department store, will be acquired in a deal valued at $6.25 billion. The acquisition will take Nordstrom private, with the Nordstrom family and a Mexican retail group as the primary buyers. Shareholders will receive $24.25 per share, a 42% premium over the March 18th closing price. The Nordstrom family will ultimately hold a majority stake following the transaction’s completion.
Private equity firm Blackstone has acquired a majority stake in Jersey Mike’s Subs for approximately $8 billion, marking the end of its independent run. Founder and CEO Peter Cancro will retain a significant equity stake and continue leading the company. This investment will fuel Jersey Mike’s expansion domestically and internationally, along with technological advancements. The deal follows Subway’s own sale to Roark Capital, making it the second-largest sandwich chain transaction in recent history.
Red Lobster, a once beloved seafood chain, has recently filed for bankruptcy. Many have been quick to point fingers at the infamous “endless shrimp” promotion as the culprit, but the reality is far more complex. Private equity firms, known for their ruthless tactics, swooped in and acquired Red Lobster, saddling the company with an insurmountable amount of debt. These investors extracted every last penny from the business, leaving it in shambles before moving on to their next target.
It’s disheartening to see a restaurant that was once a go-to spot for special occasions or romantic dinners fall from grace in such a drastic manner.… Continue reading
I woke up to some devastating news this morning. The 99 Cents Only stores are closing all 371 of their locations, and they have already started their liquidation sales. The worst part about this whole situation is how the employees were informed about the closures – just moments before the stores opened for the day. Not only that, but they were also told that they wouldn’t be receiving their severance pay and that if they didn’t continue to work until the store’s closure, they wouldn’t be eligible for unemployment. It’s truly heartbreaking to see these hardworking individuals treated in such a callous manner.… Continue reading
John Q. Hosedrinker