Jones Apparel Group has accepted the Dubai-based investment group Istithmar’s new bid of $942.3 million for its Barneys New York chain of luxury department stores. This beats Japanese contender Fast Retailing’s $950 million offer, which would have come with a $22.7 million termination fee for Jones Apparel’s earlier deal with Istithmar. The new bid from the Dubai group comes with a heightened $34.7 million termination clause.
Fast Retailing has until 5:00 p.m. tomorrow, Thursday, to counter.
Fast Retailing Co., the Japanese company that operates the casual clothing retailer Uniqlo, made a $900 million cash offer for Barneys New York last month, beating Istithmar’s $825 million June offer, which Jones had agreed to.
Barneys has stores in New York, Beverly Hills, Boston, Chestnut Hill, Mass., Chicago, Dallas, and Seattle. A San Francisco location is scheduled to open in September 2007.