- Eminence Capital, which is Men's Wearhouse's (MW) largest shareholder with a stake of almost 10% and which owns nearly 5% in Jos. A. Bank Clothiers (JOSB), reportedly intends to back Men's Wearhouse's hostile $1.6B offer for the smaller clothing retailer.
- Eminence's move will make it more difficult for Jos. A. Bank to defend itself and to succeed with its own bid for Men's Warehouse.
- Eminence has been a strong supporter of a merger between the companies, arguing that it could bring $2B of cost savings, although hadn't expressed who it would support until now.
- Eminence is also against Jos. A. Bank trying to buy another company. "We firmly believe that you will not be able to deliver comparable value to shareholders through any other strategic transaction or action available to you," Eminence will tell the company in a letter.
Major shareholder to back Men's Wearhouse over Jos. A. Bank
Jan 13 2014, 03:58 ET