The Nordstrom family has submitted an offer to acquire the remaining shares of Nordstrom (NYSE:JWN) for $23 per share in cash, according to a statement issued on Wednesday. The proposal, which is non-binding, outlines their intent to buy out all outstanding shares of the department store chain’s common stock.
The Nordstrom family, including CEO Erik Nordstrom and President Pete Nordstrom, have engaged Moelis & Company LLC as their financial advisor and Wilmer Cutler Pickering Hale and Dorr LLP as legal counsel. However, there is no guarantee that the board or shareholders will accept the offer or that the deal will be completed.
Earlier this year, reports emerged that the Nordstrom family was exploring the possibility of taking the retailer private, prompting the board to form a special committee of independent directors to assess potential bids. The committee will evaluate not only the family’s offer but also any external proposals, ensuring that any action aligns with the best interests of the company and its shareholders.
This potential privatization comes as department stores face increasing competition from direct-to-consumer brands and online platforms, which have shifted focus away from traditional wholesale models.