The battle continues. Jos. A. Bank (NASDAQ: JOSB) on Thursday rejected the latest acquisition proposal from Men's Wearhouse (NYSE: MW), but it called for a meeting to discuss a higher price that could seal the deal. It's the first time Jos. A. Bank has agreed to negotiations with its rival.
Men's Wearhouse on Feb. 24 said it would offer $63.50 per share for Jos. A. Bank, up from its prior bid of $57.50 per share. The company added it could increase the offer to $65 if it was able to conduct limited due diligence. That offer also depends upon Jos. A. Bank ending an agreement reached two weeks ago to buy outdoor apparel retailer Eddie Bauer for $825 million.
Thursday's announcement is the latest move in a saga that began in October when Jos. A Bank made an offer to buy out its larger rival. Men's Wearhouse turned the tables with its own offer and then, in January, went hostile by taking its offer to its smaller rival's shareholders.
Complicating the matter, Jos. A. Bank in February made its bid for Eddie Bauer. Men's Wearhouse filed a lawsuit to block the transaction, claiming the deal was an attempt by Jos. A Bank to thwart any more efforts at negotiating a takeover bid.
-See this Jos. A. Bank press release
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