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Nordstrom shares jump 9% on report retailer is trying to go private

Shoppers exit the Nordstrom at the Westfield Topanga mall in Canoga Park, California, on Aug. 14, 2023.
Christina House | Los Angeles Times | Getty Images

Shoppers exit the Nordstrom at the Westfield Topanga mall in Canoga Park, California, on Aug. 14, 2023.

  • Nordstrom shares jumped following a report that the department store operator is considering going private.
  • A deal might not happen, according to Reuters, and a similar effort failed in 2018.
  • Nordstrom earlier this month gave a disappointing sales outlook for 2024.

Nordstrom shares closed 9% higher on Tuesday following a report that the department store chain is attempting to go private.

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The retailer's founding family is working with Morgan Stanley and investment bank Centerview Partners to determine if private equity firms have interest in a deal, Reuters reported, citing people familiar with the matter. Morgan Stanley declined to comment.

A deal might not happen, according to Reuters. A previous effort to take Nordstrom private fizzled out in 2018.

Nordstrom has struggled to drive sales in a competitive retail landscape where consumers squeezed by inflation have been watching their spending on apparel and other discretionary goods. Earlier this month, the company gave a gloomy sales outlook for 2024.

Nordstrom said it expects full-year revenue to range from a 2% decline to a 1% increase from 2023.

Before Tuesday's move, the company's shares had fallen about 7% this year.

Nordstrom did not immediately respond to CNBC's request for comment.

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