Investing.com -- Shares of Nordstrom Inc . (NYSE:JWN) climbed 3.3% in pre-open trading Thursday following reports from Women's Wear Daily that the Nordstrom family and El Puerto de Liverpool are nearing an agreement to purchase the outstanding shares of the company. The potential deal, which could be finalized as early as this week, has sparked investor interest, leading to a noticeable uptick in the stock's performance during the trading session.
A proposal, initially received by Nordstrom's special committee in September, outlined an acquisition price of $23.00 per share in cash, excluding shares held by the Nordstrom family and Liverpool. The financing structure for the merger includes a mix of rollover equity, cash commitments from the Nordstrom family and Liverpool, and $250 million in new bank financing, while existing company debt would remain in place.
The special committee, consisting of independent directors, was established after Erik and Pete Nordstrom expressed interest in a potential transaction. With the aid of independent financial and legal advisors, the committee is tasked with reviewing the proposal to determine the best course of action for Nordstrom and its shareholders. At this time, shareholders have been advised that no action is necessary.
Morgan Stanley & Co (NYSE:MS). LLC and Centerview Partners LLC are serving as financial advisors, while Sidley Austin LLP and Perkins Coie LLP are acting as legal counsel to the special committee during this evaluation process.
The reported advancement towards a deal has evidently resonated with the market, as evidenced by the positive movement in Nordstrom's stock price. Investors are closely monitoring the situation, awaiting any official confirmation or updates regarding the potential acquisition.
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