(Reuters) – The mum or dad of Saks Fifth Avenue mentioned on Thursday it has agreed to purchase rival luxurious retailer Neiman Marcus in a $2.65 billion deal.
HBC, the mum or dad agency, mentioned it would set up Saks International, a mixed entity of Saks Fifth Avenue, Neiman Marcus and different luxurious retail and actual property belongings.
The deal was introduced at a time when luxurious retailers are battling slowing demand as excessive borrowing prices drive clients to crimp budgets following a luxurious retail increase after the COVID-19 pandemic.
Marc Metrick, the CEO of the e-commerce Saks enterprise, will run the mixed firm.
The businesses mentioned on-line retailer Amazon.com and buyer relationship software program supplier Salesforce can even be buyers in Saks International.
Neiman Marcus is understood for promoting designer clothes, footwear, purses and different luxurious merchandise.
J.P. Morgan and Lazard served because the monetary advisers to Neiman Marcus Group within the deal.
(Reporting by Arasu Kannagi Basil and Akash Sriram in Bengaluru; Enhancing by Paul Simao)