Dive Summary:
- KKR, a private equity firm, is considering and investment in Saks Inc and could be seeking a merger with rival Neiman Marcus and deliberations may not lead to an acquisition, according to a source.
- Merging both companies would create an upscale chain that could boast over $7 billion in sales annually.
- Saks has commissioned Goldman Sachs for advice on its possible options and could be exploring a sale of the company.
From the article:
A Neiman Marcus and Saks combination could benefit from closing some duplicate stores in the same malls, consolidating distribution centers as well as achieving efficiencies in advertising, Mortimer Singer, president of New York retail consulting firm Marvin Traub. Associates, said in a telephone interview yesterday.
