TPG, Warburg Pincus Sell Neiman Marcus To P.E. Firm Ares

Sep 10 2013 | 10:11am ET

Private-equity giants TPG and Warburg Pincus have agreed to sell luxury retailer Neiman Marcus to a group led by a fellow p.e. firm.

Ares Management and the Canadian Pension Plan Investment Board will pay $6 billion for the company, which includes New York's Bergdorf Goodman and the Last Call outlet stores. The TPG-Warburg Pincus group paid $5.1 billion for Neiman in 2005, and had planned to take it public later this year if they could not find a buyer.

Ares and the CPPIB will own equal stakes in the retailer. Neiman's management will retain its minority stake.

"We plan on investing meaningful capital into the business to ensure Neiman's long-term position as the unparalleled leader in luxury retail," Ares p.e. co-head David Kaplan said.

The deal is expected to close in the fourth quarter.


In Depth

U.S. Treasury Moves on Reinsurance Loophole

Apr 24 2015 | 5:11pm ET

The U.S. Treasury Department has released proposed rules aimed at limiting the ability...

Lifestyle

Artivest Announces Funding Round Led by KKR & Co.

May 4 2015 | 9:56am ET

Artivest, a startup that provides individual investors with access to private equity...

Guest Contributor

Starting a ‘40 Act Fund Family? Don’t Forget Your Board

Apr 30 2015 | 7:18am ET

The convergence of the hedge fund and mutual fund worlds continues unabated, as...

 

Editor's Note