More details on the buyout of Saks

|About: Saks Incorporated (SKS)|By:, SA News Editor

The $2.4B purchase of Saks (SKS) will bring three strong brands - Hudson's Bay, Lord & Taylor, and Saks - under the same umbrella and generate significant benefits. The company expects to achieve ~$97M of annual synergies within three years while keeping each of the iconic businesses distinct.

The deal will be financed through a combination of $1B in new equity, $1.9B in secured loans, and cash on hand.

Saks has a 40-day window to find a better offer subject to customary breakup fees.

SKS +3.9% premarket to $15.93.