Target reviews investor idea for real estate business

MINNEAPOLIS Target reported that it would review investor Pershing Square's ideas for an alternative ownership structure related to Target real estate. Target has been evaluating these ideas with the assistance of outside advisors, including Goldman Sachs.

“Target has a strong record of engagement and open dialogue with shareholders over many years,” said Gregg Steinhafel, ceo and president of Target. “We respect the spirit with which these ideas were presented, and will share our perspective with the financial community in the near future. The Target Board of Directors and senior executive team take their fiduciary responsibilities seriously, and will continue to act in Target’s and our shareholders’ best interests.” 

Pershing Square is proposing that Target spin off the land on which the stores are built into a separate company.

Target's retail segment includes large general merchandise and food discount stores and Target.com, a fully integrated on-line business. In addition, the company operates a credit card segment that offers branded proprietary and Visa credit card products. The company currently operates 1,684 Target stores in 48 states.