Neiman Marcus May Be Up for Sale
March 17, 05
The Neiman Marcus Group said yesterday (Wednesday) that it is considering the possible sale of the company, one of “various strategic alternatives to enhance shareholder value”. It added that there was no assurance that the process would result in any specific transaction.
Neiman Marcus shares, already riding high in the past couple of years, surged further on the news.
Publicly traded luxury retailers, such as Neiman Marcus and Tiffany & Co, are doing well, making them prime candidates to takeovers. Not just takeovers, consolidation between big name retailers are clearly the name of the game for the U.S. retail sector with such recent examples as Federated and May or Kmart and Sears.
The Neiman Marcus Group operates in the specialty retail stores and the direct marketing segments. The specialty retail stores segment consists primarily of 35 Neiman Marcus and two Bergdorf Goodman stores. The direct marketing part conducts both print catalog and online operations under the Neiman Marcus, Horchow and Bergdorf Goodman brand names.