Jos. A. Bank (NASDAQ: JOSB) turned down yet another acquisition bid by Men's Wearhouse (NYSE: MW) as the takeover battle between the two retailers continues. This time, however, Jos. A. Bank may be moving on for good, as it looks at other acquisitions including retailer Eddie Bauer.
In response to Men's Wearhouse's offer last week, Jos. A. Bank said the proposal still undervalued the company.
"After carefully reviewing your offer with our financial and legal advisors, we continue to believe that your offer to acquire Jos. A. Bank substantially undervalues our company and that your proposal is not in the best interests of our stockholders," said the board of directors in a letter to Douglas Ewert, president of Men's Wearhouse.
The talks with Eddie Bauer haven't been confirmed by Jos. A. Bank, but sources close to the matter told The Wall Street Journal about a possible deal. Jos. A. Bank has said it would pursue other takeover deals. "The company has been and is continuing to engage in preliminary negotiations that could result in an extraordinary transaction, including the acquisition of a business or assets from a third party that would be material to the company," Jos. A. Bank said in a securities filing in January.
Eddie Bauer is a clothing, sportswear and outerwear retailer for men and women with 370 stores in the U.S. and Canada.
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