Saks Owner to Acquire Neiman Marcus in $2.65B Deal with Amazon's Help
Saks Global, the parent company of Saks Fifth Avenue, has agreed to acquire Dallas-based luxury retailer Neiman Marcus for $2.65 billion. The acquisition, approved by the boards of both companies, will see Amazon and Salesforce Inc. take minority stakes in the newly formed entity, which will retain the name Saks. The deal is expected to be announced imminently.
The transaction aims to create a luxury retail powerhouse with combined annual sales projected at $10 billion. Hudson's Bay Company, the parent of Saks Global, is raising $2 billion from investors to help finance the acquisition, with Apollo Global providing an additional $1.15 billion in debt financing. Marc Metrick, currently CEO of Saks' e-commerce business, is set to lead the combined company.
Amazon's involvement as a minority stakeholder will include providing technology and logistical expertise to the new company. The combined entity will operate 75 stores, including two Bergdorf Goodman locations, and 100 off-price stores. There are no current plans to close any stores following the merger.
