The Nordstrom family has successfully regained control of the eponymous retailer through an all-cash transaction valued at approximately $6.25 billion. The deal, which is expected to close in the first half of 2025, sees the family group and Mexican retail conglomerate El Puerto de Liverpool acquiring the remaining outstanding common shares.
The financing for the transaction involves a combination of rollover equity by the Nordstrom family, cash commitments from Liverpool, and borrowings under a new $1.2 billion ABL bank financing. The debt structure will remain largely unchanged, with only minor adjustments to senior notes and long-term debt.
Following completion, the Nordstrom family is set to become the majority owners of the company, while Liverpool will own 49.9%. The deal has been met with positive comments from GlobalData Managing Director Neil Saunders, who stated that the family’s ability to enact change and El Puerto de Liverpool’s involvement will likely lead to a more long-term focused approach to running the business.
The acquisition is seen as a positive step for the brand’s long-term health, as it allows the Nordstroms to “take a long term view of the business” and make necessary investments without the pressures of public markets.
Source: https://www.retaildive.com/news/nordstroms-puerto-liverpool-company-private-625b/736220