Hampstead, Md. – The board of directors of Jos. A. Bank Clothiers, Inc. has unanimously rejected a non-binding acquisition proposal it received on Nov. 26, 2013, from The Men's Wearhouse, Inc. Assisted by outside financial advisors, the board determined the price of roughly $1.54 billion significantly undervalued the company and its near and long-term potential and was not in the best interest of the company's shareholders.
Jos. A. Bank said it is reviewing all alternatives regarding potential strategic acquisition opportunities. Men’s Wearhouse rejected a purchase offer of about $2.3 billion from Jos. A. Bank in October 2013, saying the bid was too low and trying to take advantage of turmoil in the wake of executive chairman and founder George Zimmer leaving acrimoniously in June.
"Our board undertook a thorough review and determined that the per share consideration in the proposal made to us by Men's Wearhouse was simply not in the best interest of our shareholders,” said Robert N. Wildrick, chairman of Jos. A. Bank. “At the same time, we continue to review acquisition opportunities that would represent a strong strategic fit with our company and provide an opportunity to leverage our core competencies to drive meaningful growth, synergies and substantial value creation over the long term."