Jos. A. Bank rejects Men’s Wearhouse takeover offer

Jos. A. Bank announced Monday it has rejected a late November takeover bid from rival Men’s Wearhouse, saying the offer undervalued the company.

“Our board undertook a thorough review and determined that the per-share consideration in the proposal made to us by Men’s Wearhouse was simply not in the best interest of our shareholders,” said Robert N. Wildrick, Jos. A. Bank’s chairman.

The two retailers have in the past months been playing a game of cat-and-mouse as each company has tried to acquire the other.

In October, Jos. A. Bank Clothiers Inc. offered to buy Men’s Wearhouse for $2.3 billion, but the offer was rejected because Men’s Wearhouse executives believed the bid undervalued the company.

Then, in late November, Men’s Wearhouse turned the tables and offered to acquire Jos. A. Bank for $55 a share, for an estimated $1.2 billion. Men’s Wearhouse said Monday that represented a 45 percent premium over Jos A. Bank’s unaffected enterprise value and 32 percent over the company’s closing share price on Oct. 8, the day before Jos. A. Bank bid for Men’s Wearhouse.

In a statement, Men’s Wearhouse’s executives expressed surprise at the rejection.

“Given Jos. A. Bank’s repeated expressions of interest in engaging in good-faith discussions about a possible combination with Men’s Wearhouse, we are surprised that Jos. A. Bank has rejected our proposal,” the company said.

More in Herald Business Journal

Why real estate investors are watching self-driving cars closely

With decisions on real estate made years in advance, could self-driving cars change how we live?

More than 60 Boeing 737s per month: Can suppliers keep up?

There was lots of talk this week about the prudence and pressures of soaring production rates.

Developer proposes an 18-story building in Lynnwood

It would be the second-tallest in the county and include apartments with retail space.

Even as stock markets shook, many investors held steady

Older investors were buying stocks, but at a lower rate than their younger counterparts.

Snohomish County business licenses

PLEASE NOTE: Business license information is obtained monthly from the Washington Secretary… Continue reading

New Everett mayor speaks out about business in city, region

Q&A: Cassie Franklin on what can be done to get Boeing to build the 797 here and attract new industries.

Aerospace analyst explains how he’ll help state’s Boeing bid

Richard Aboulafia will deliver a report on Washington’s strengths and weaknesses in landing the 797.

Air passenger traffic growing faster than airplane capacity

“Our customers are in a good place,” a Boeing marketing executive says of the airlines.

Load up: Cheesecake Factory plans Lynnwood location

The chain restaurant is listed as a tenant in new development at Alderwood mall.