Franchise Group considers lowering Kohl’s bid closer to $50 a share from about $60, source says

- Advertisement -


  • Retail holding company Franchise Group is lowering its bid for Kohl’s from about $60 to closer to $50 per share, according to a person familiar with the deal’s negotiations.
  • The person said the Vitamin Shop owner is actively considering whether buying Kohl’s is the best use case for the franchise group’s capital.
  • Shares of Kohl’s opened Wednesday at $41.52 and traded as low as $34.64 at the end of May.

- Advertisement -

Retail holding company Franchise Group is lowering its bid for Kohl’s from about $60 to closer to $50 per share, according to a person familiar with the deal’s negotiations.

- Advertisement -

Shares of Kohl’s were down more than 10% on Wednesday afternoon.

The owner of Vitamin Shoppe is actively considering whether buying Kohls is the best use case for the franchise group’s capital, said the person, who asked to remain anonymous because talks are private and ongoing.

- Advertisement -

The person said that the franchise group has made financing arrangements with lenders. But the company, run by Chief Executive Officer Brian Kahn, is now weighing lower prices as retailers grapple with bloated inventory as consumers balk at higher prices.

Earlier this month, Franchise Group proposed a $60 per share bid to acquire Kohl’s at a valuation of approximately $8 billion. The two companies then entered into a three-week period during which they could consolidate any due diligence and final financing arrangements. which ends this weekend.

Shares of Kohl’s opened Wednesday at $41.52 and traded as low as $34.64 at the end of May.

Representatives for Kohls and Franchise Group did not immediately respond to CNBC’s requests for comment.

This story is developing. Please check back for updates.

Credit: www.cnbc.com /

- Advertisement -

Stay on top - Get the daily news in your inbox

DMCA / Correction Notice

Recent Articles

Related Stories

Stay on top - Get the daily news in your inbox