Jos. A. Bank plays hard to get

HAMPSTEAD, Md. (AP) - Men's clothing company Jos. A. Bank rejected Men's Wearhouse $1.78 billion sweetened acquisition offer late Thursday. But it said it is willing to meet with its rival chain over a possible higher bid.

Men's Wearhouse Inc. said Monday it would offer $63.50 per share for Jos. A. Bank, up from its prior bid of $57.50 per share. The Houston company also said it could raise the bid to $65 per share, if some conditions are met.

On Thursday, Jos. A. Bank said it was willing to meet with Men's Wearhouse to discuss the higher bid.

The raised offer came 10 days after Jos. A Bank announced that it was planning to buy the parent company of Eddie Bauer in a cash-and-stock deal valued at $825 million. But at the time Jos. A. Bank left the door open, saying that it may end the Eddie Bauer deal if it receives an acquisition offer that is superior.

Meanwhile, Men's Wearhouse on Monday filed a lawsuit in Delaware against Jos. A. Bank and its board and the companies involved in the Eddie Bauer transaction, saying that the move was designed to thwart its offer. It wants the court to order Jos. A. Bank's board to rescind its shareholder rights plan and provide an order stopping the companies from moving forward with the Eddie Bauer deal.

On Thursday, Jos. A. Bank said it cleared a regulatory hurdle in the planned purchase of Eddie Bauer's parent company. It also said financing for the deal is proceeding on track.

The back-and-forth between Men's Wearhouse and Jos. A. Bank started in October, when Jos. A. Bank offered to buy its larger rival for $2.3 billion. Men's Wearhouse scoffed at that offer, and turned the tables, offering to buy its rival for $1.54 billion. But after Hampstead, Md.-based Jos. A Bank turned down that overture, Men's Wearhouse increased its bid to $1.6 billion, and then again to $1.78 billion.


(Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Top Stories

  • Spy Gadgets
    A big collection of equipment that would make James Bond envious is on display in Seattle

  • Grab Brunch
    Find a good spot for your Sunday brunch

  • Week in Photos
    Holy Week, white tiger's reflection, and Easter goes to the fishes make up this week's photos
ATTENTION COMMENTERS: We've changed our comments, but want to keep you in the conversation.
Please login below with your Facebook, Twitter, Google+ or Disqus account. Existing MyNorthwest account holders will need to create a new Disqus account or use one of the social logins provided below. Thank you.
comments powered by Disqus
Sign up for breaking news e-mail alerts from MyNorthwest.com
In the community
Do you know a student who stands out in the classroom, school and community?
Help make their dreams come true by nominating them for a $1,000 scholarship and a chance to earn a $10,000 Grand Prize. Brought to you by KIRO Radio and Comprehensive Wealth Management.

Do you know an exceptional citizen who has impacted and inspired others?
KIRO Radio and WSECU would like to recognize six oustanding citizens this year. Nominate them to be recognized and to receive a $2,000 charitable grant.