After months of flirting — and at times being bitter rivals — Men's Wearhouse and Jos. A. Bank have finally agreed to a buyout.
"The big deal finally done. Men's Wearhouse is buying Jos. A. Bank for $1.8 billion, or $65 a share. Both stocks moving higher on the news." (Via CNBC)
The two companies have gone round and round on this deal, with each one offering to buy the other.
Jos. A. Bank tried to buy Men's Wearhouse for $2.3 billion back in October. Men's Wearhouse rejected the offer and countered with an offer to buy Jos. A. Bank, which was also rejected. But the confusion finally came to an end with Tuesday's agreement. (Via Wikimedia Commons / Ed! / Michael Rivera)
Combined, The New York Times reports the merged company's expected revenue will be $3.5 billion annually.
Now, Men's Wearhouse is the bigger of the two, with 1,133 stores to Jos. A. Bank's 629. But together, with more than 1,700 stores, they'll be the fourth largest men's apparel retailer in the U.S.
Per terms of the deal, Jos. A. Bank will no longer be purchasing clothing store chain Eddie Bauer, which it agreed to do in February while it was, as CNN put it, "fighting off a hostile takeover attempt" from Men's Wearhouse.
Men's Wearhouse and Jos. A. Bank will continue to operate as separate brands.
