Nordstrom Stock Rises Amidrumors of a Potential Acquisition Deal

Investing.com -- Nordstrom Inc. (NYSE:JWN) shares rose 3.3% in pre-market trading on Thursday after Women's Wear Daily reported that the Nordstrom family is close to an agreement with El Puerto de Liverpool to purchase the remaining shares of the company. The potential deal, expected to finalize this week, has attracted investor interest, leading to a noticeable increase in the stock's performance during the trading session.

In a proposal submitted to Nordstrom's special committee in September, a cash purchase price of $23.00 per share was suggested, excluding shares held by the Nordstrom family and Liverpool. The financing structure for the merger consists of a mix of cash commitments from the Nordstrom family and Liverpool, new $250 million bank financing, and the existing company debt remaining in place.

The special committee, composed of independent directors, was established following Erik and Pete Nordstrom's interest in a potential transaction. The committee is tasked with reviewing the proposal, with the assistance of independent financial and legal advisors, to determine the best course of action for Nordstrom and its shareholders. Shareholders have currently been advised not to take any action.

Morgan Stanley & Co. LLC and Centerview Partners LLC are serving as financial advisors, while Sidley Austin LLP and Perkins Coie LLP are providing legal counsel to the special committee during this assessment process.

News of progress toward a deal has resonated in the market, as evidenced by the positive movement in Nordstrom's stock price. Investors are closely monitoring the situation, anticipating formal approval or updates related to the potential acquisition.