Investing.com - Shares of Nordstrom Inc (NYSE:JWN) soared in Tuesday’s after hours session following a report that the company is near a deal with a private equity firm to go private.
According to CNBC, Nordstrom family members are close to choosing private equity firm Leonard Green & Partners to help fund a buyout of the department store. The company announced in June that it was interested in buying out shareholders and going private so that the company could make business decisions to help it adapt to the dynamic retail landscape without worrying about shareholder reactions.
But, in order to go private, the company needs roughly $1 billion in equity, and this is where Leonard Green & Partners comes in. The company has been looking for a private equity partner for months, and although Nordstrom has worked with Leonard Green before, this deal has not been finalized and the company may still select another partner.
Nordstrom's shares were up 8.3% during Tuesday's after hours session.