Mon Dec 23 15:40:00 UTC 2024: ## Nordstrom Goes Private in $6.25 Billion Deal Led by Founding Family
**Seattle, WA** – Nordstrom, the iconic American department store, is returning to private ownership in a $6.25 billion deal spearheaded by the Nordstrom family and Mexican retailer El Puerto de Liverpool. The transaction, unanimously approved by Nordstrom’s board of directors, is expected to close in the first half of 2025.
Under the terms of the agreement, the Nordstrom family will hold a majority 50.1% stake, while El Puerto de Liverpool will own the remaining 49.9%. Current shareholders will receive $24.25 in cash per share. This marks a significant increase from a previous, unsuccessful attempt by the Nordstrom family to take the company private in 2018.
“Today marks an exciting new chapter for the business,” said Nordstrom CEO Erik Nordstrom in a press release. “On behalf of my family, we look forward to working with our teams to ensure Nordstrom thrives long into the future.”
The deal comes amidst a challenging retail environment for luxury goods, with consumers demonstrating increased price sensitivity. While Nordstrom exceeded Wall Street’s sales expectations in the third fiscal quarter, the company projected a softer holiday season.
The Nordstrom family’s renewed pursuit of privatization follows a March Reuters report indicating their intention to take the company private. Since then, Nordstrom’s stock has experienced a significant rise, although it saw a slight dip following the official announcement of the buyout.
Founded in 1901 as a shoe store, Nordstrom has grown into a major department store chain with over 350 locations across the United States. El Puerto de Liverpool, its new partner, is a prominent Mexican retailer with diverse holdings including department stores and shopping centers. The acquisition represents a significant investment in the American retail landscape by the Mexican company.
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