Kohl’s says board reviewing multiple buyout offers

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FILE PHOTO: A Kohl’s department store in New York

-Kohl’s Corp said on Monday its board was reviewing multiple preliminary offers from buyers as the U.S. department store chain continues to evaluate alternatives for its business.

Canadian department store chain Hudson’s Bay Co is bidding for Kohl’s, a source familiar with the matter told Reuters last week.

The company had previously rejected buyout offers from Sycamore and Starboard Value-backed Acacia Research, with each offering to pay between $64 and $65 per share, valuing the company at around $9 billion.

Kohl’s, which is facing pressure from activist investors to sell itself, said the proposals received are non-binding and without committed financing.

The department store chain also said Goldman Sachs will coordinate with select bidders to assist with further due diligence.

Activist hedge fund Macellum Advisors, which owns roughly 5% of Kohl’s stock, said in February it is seeking to take control of the company’s board and has nominated 10 directors while criticizing the retailer for not doing enough to improve its business.

Kohl’s, in a letter to shareholders on Monday, urged them to vote in favor of all its nominees and believes Macellum’s efforts to take control of the company are “unjustified and unwarranted and highly concerning.”

Macellum did not respond to a Reuters request for comment.

(Reporting by Ananya Mariam Rajesh in Bengaluru; Editing by Krishna Chandra Eluri)