HOUSTON, TEXAS–After months of offers and counter-offers, Men’s Wearhouse (NYSE: MW) and Jos. A. Bank (NASDAQ: JOSB) have agreed to a $1.8 billion deal to acquire Bank’s outstanding shares of common stock for $65 cash per share. The deal expects to support 23,000 jobs across 1,700 stores.
“We are pleased to have reached this agreement with Jos. A. Bank, which we believe will deliver substantial benefits to our respective shareholders, employees and customers,” said Doug Ewert, President and Chief Executive Officer of Men’s Wearhouse in a press release.
The acquisition is slated to create the “fourth largest U.S. men’s apparel retailer with pro forma sales of approximately $3.5 billion.” Further, a “smooth transition” is expected as both companies will retain individual branding rights going forward. Similar acquisition structures were employed by Men’s Wearhouse with respect to Joseph Abboud, After Hours and Moores, according to the company.
The company announced that while the acquisition offer is “not conditioned on financing,” committed debt financing from BofA Merrill Lynch and JPMorgan Chase Bank, N.A. will be utilized along with existing balance sheet cash.
Men’s Wearhouse was founded in 1973 and is headquartered in Houston, Texas.
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