The deal, unanimously approved by the company’s board, includes Nordstrom’s founding family and Mexican department store El Puerto de Liverpool. The transaction is expected to close in the first half of 2025.
Under the terms of the deal, the Nordstrom family will hold a majority stake of 50.1 percent, while Liverpool will own 49.9 percent. Common shareholders will receive $24.25 in cash for each share of Nordstrom stock.
CEO Eric Nordstrom expressed excitement about the company’s new chapter, stressing that the Nordstrom family is committed to the retailer’s long-term success. “We look forward to working with our teams to ensure Nordstrom’s future growth,” he said.
This isn’t the first attempt to take Nordstrom private. In 2018, a previous attempt failed. The family made another offer in September, proposing $23 per share, valuing the company at about $3.76 billion.
Nordstrom’s stock fell about 1% in early trading after the announcement, but shares had risen since reports emerged in March that the family was considering taking the company private.
In the fiscal third quarter, Nordstrom exceeded Wall Street’s sales expectations, reporting a 4% year-over-year increase in revenue. However, the company issued a cautious forecast for the holiday season, expecting a softer shopping period as consumers remain selective and price conscious, especially for luxury items.
A shift in consumer behavior has affected luxury apparel retailers, with major chains such as Walmart, Best Buy, and Target also seeing consumers prioritize their needs.
Founded in 1901 as a shoe store, Nordstrom has since expanded into a department store offering a wide range of clothing and accessories through more than 350 locations, including Nordstrom Rack and Nordstrom. Local stores.
El Puerto de Liverpool operates department store chains in Liverpool and Suburbia and owns 29 shopping centers throughout Mexico.