by MR Magazine Staff

Yesterday, New York Post reporter Ariel Zilber broke the news that the owners of JCPenney, made an offer to acquire competing store Kohl’s “in a deal that could value the department-store chain at upwards of $8.6 billion. Under the proposal, shopping-mall giant Simon Property and Canada-based Brookfield Asset Management — which together scooped JCPenney out of bankruptcy in December 2020 — have offered to acquire Kohl’s for $68 a share, according to sources close to the talks.”

The piece goes on to say the plan is for JCPenney’s corporate parents to continue to maintain two separate brands while streamlining operations and cutting costs. The bidders’ plan for Kohl’s is to slash costs by $1 billion over the next three years, according to the source.

Investment website TipRanks, reports that Canada-based luxury department store chain operator Hudson’s Bay as well as equity firms Sycamore Partners and Leonard Green & Partners are also interested in acquiring the company.

The NRF reports that Kohl’s shares rose more than 4% on Monday’s news, but representatives of JCPenney, Simon Property Group, and Brookfield Asset Management have not returned requests for comment.