Nordstrom rejects buyout deal from Nordstrom family

NEW YORK — Department store operator Nordstrom said Monday it had rejected a takeover offer from members of the Nordstrom family, calling the price “inadequate.”

The family group, including co-presidents Blake, Peter and Erik Nordstrom, offered $50 in cash for each share of the company that the family doesn’t own, plus the same price for about 21 per cent of the company that individual family members own. In total, the family members — who are decedents of founder John W. Nordstrom — own about a 30 per cent stake in the company, according to FactSet.

A special committee for the company’s board of directors said it rejected the offer and said it will stop discussions with the family members unless they can increase the price. Last year, Nordstrom’s board formed the committee to represent the company in any talks with the family over a potential sale.

Shares of Seattle-based Nordstrom Inc., which closed at $51.90 on Monday, fell about 3 per cent in extended trading to $50.36, still above the offer price.

Nordstrom, like other department stores, is trying to adapt to changing customer behaviour. The company reported sales and profits last week that fell short of expectations for the quarter that includes the holiday season. The missed targets overshadowed Nordstrom’s healthy 2.6 per cent increase in sales at established stores, which is a key measure of a retailer’s health.

Taking the company private would pave the way for the chain — which traces its roots back to a Seattle shoe store opened in 1901 — to manage its reinvention without the watch of the public markets.

Just Posted

Central Alberta school divisions to support rural students through agreement

Wolf Creek to bring Enhanced Learning Model courses to Clearview schools

WATCH: Red Deer Catholic students re-envision a local wetland for school project

Father Henri Voisin Grade 3 teacher introduces ‘real-life’-based education

Manslaughter charge stayed against Maskwacis man

Man was accused of manslaughter in connection with the death of his mother in 2015

Red Deer Mounties make numerous arrests over the past two weeks

Over the past two weeks, Red Deer RCMP have made a number… Continue reading

Leslieville Elks’ new hall rising from the ashes

Leslieville Elks Lodge grateful for outpouring of support

WATCH: Red Deer Catholic students re-envision a local wetland for school project

Father Henri Voisin Grade 3 teacher introduces ‘real-life’-based education

Charges dropped against Alberta property owner in rural shooting

OKOTOKS, Alta. — All charges have been dropped against a man accused… Continue reading

China blocks John Oliver on social media after scathing show

BEIJING — A popular Chinese social media site is censoring discussion of… Continue reading

Most Red Deer Advocate readers would call police when witnessing a crime

An overwhelming number of Advocate readers would call the police if they… Continue reading

So much TV, so little summer: Amy Adams, Kevin Hart, Dr. Pol

LOS ANGELES — The fall television season is months away but that’s… Continue reading

BlackBerry Q1 revenue, adjusted earnings beat estimates but stock falls

TORONTO — BlackBerry Ltd. shares sank almost 10 per cent to their… Continue reading

OPEC countries to pump more oil to contain price increase

VIENNA — The countries of the OPEC cartel agreed on Friday to… Continue reading

Man sentenced for Edson triple murder

EDMONTON — An Alberta man who fatally shot three people has been… Continue reading

‘Hot Dog Water’ seller in Vancouver gets laughs, sales with savvy marketing

VANCOUVER — A Vancouver man who sold bottles of “Hot Dog Water”… Continue reading

Most Read


Five-day delivery plus unlimited digital access for $185 for 260 issues (must live in delivery area to qualify) Unlimited Digital Access 99 cents for the first four weeks and then only $15 per month Five-day delivery plus unlimited digital access for $15 a month