Richard Baker, executive chairman of Hudson’s Bay, parent company to Lord & Taylor and Saks Fifth Avenue, is leading a bid to take the retailer private. A group of shareholders who collectively own 57% of the company — Baker, Rhone Capital, WeWork Property Advisors, Hanover Investments (Luxembourg) and Abrams Capital Management — submitted a proposal to take Hudson’s Bay private at a price of 9.45 Canadian dollars ($7.12) per share. The all-cash offer values the company at a 48% premium to where the stock closed Friday. Shares of the company have fallen nearly 13% year to date. In the past two years, Hudson’s Bay has taken a number of steps to unwind the empire put together by Baker through deals, which have left the company leveraged, limiting its ability to adapt. The retailer also announced Monday it had sold the remaining half of its interest in its European businesses for $1.5 billion and will use those funds to support Baker’s bid.
Private equity firm Apollo Global Management LLC announced Monday it has agreed to acquire U.S. digital imaging company Shutterfly Inc for $2.7 billion, including the company’s $900 million debt. The deal, is the culmination of several years of private equity interest in Shutterfly, which allows customers to make photo books, cards and gifts from their photos. Apollo will pay $51 per share in cash for Shutterfly, a 13% premium to the company’s value on Feb. 5, the last trading day before it announced it would explore a sale. Apollo also announced it would acquire privately held Snapfish LLC, a small internet-based retailer of photography products, to merge it with Shutterfly. Founded in 1999, Shutterfly faces increasing competition from other online digital photography services companies such as Snapfish and Vistaprint, as well as brick-and-mortar retailers, such as Wal-Mart, Costco and Target, that offer low-cost digital photography products and services.
Asia: Asian shares rallied on Tuesday, as a signal of an infrastructure boost from Beijing outweighed comments from U.S. President Donald Trump on the ongoing trade war between the two economic powerhouses.
Europe: European stocks rose on strong export data from China and a possible deal between the U.S. and Mexico gave markets some relief.
U.S: U.S. markets closed in the green on Monday after the U.S. reached an agreement with Mexico on tariffs, easing some of the trade concerns which have weighed on the market since early May. DJIA: +78.74 26062.68 Nasdaq: + 87.07 7823.17 S&P: +13.39 2886.73
Word Of The Day:
A graphical representation of the relationship between the price and the quantity demanded for a given period of time.
Dinner or Drink:
Brazilian Iced Chocolate Coca-Cola
2 Oz unsweetened chocolate
1/4 cup sugar
1 cup double-strength hot coffee
2 1/2 cups milk
1 1/2 cups Coca-Cola® chilled
In the top of a double-boiler over hot water, melt the chocolate squares. Stir in the sugar. Gradually stir in hot coffee, mixing thoroughly. Add the milk and continue cooking until all particles of the chocolate are dissolved and the mixture is smooth, about 10 minutes. Pour into a jar. Cover and chill. When ready to serve, stir in the chilled Coca-Cola. Serve over ice cubes in tall glasses. For a beverage, top with whipped cream. For a dessert, add a scoop of vanilla ice cream. Makes 5 cups.