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Sep 27, 2013

J.C. Penney says to raise up to $932 million in stock sale

By Phil Wahba and Olivia Oran

(Reuters) – Struggling department store operator J.C. Penney Co Inc (JCP.N: Quote, Profile, Research, Stock Buzz) expects to raise up to $932 million from a share sale, leaving it with about $2.2 billion in cash at the end of the year.

J.C. Penney, whose shares have been hit by concerns that it does not have enough cash to fund its operations going into the holiday season, said on Friday it would sell 84 million shares in a public offering at $9.65 per share.

Sep 27, 2013

J.C. Penney seeks to sell as many as 97 million shares

By Phil Wahba and Olivia Oran

(Reuters) – Struggling department store company J.C. Penney Co Inc (JCP.N: Quote, Profile, Research, Stock Buzz) said on Thursday it had begun a public offering of up to 96.6 million shares, a move that will massively dilute its current shareholders.

Penney, which currently has 220 million shares on issue and a market value of about $2.2 billion, has been hit by collapsing sales after a failed attempt in 2012 to go up-market. It said it plans to use the money raised for general corporate purposes.

Sep 26, 2013

Exclusive: Penney leaning toward $1 billion equity raise – sources

By Olivia Oran and Phil Wahba

(Reuters) – J.C. Penney Company Inc is looking to raise as much $750 million to $1 billion in new equity to build up its cash reserves as the holiday season approaches, according to three people with knowledge of the matter.

Penney, whose shares have fallen 49 percent so far this year, has a market value of $2.6 billion. The U.S. department store chain is leaning toward issuing new shares, the sources said, although other methods of raising capital are also on the table.

Sep 25, 2013

Penney leaning toward $1 bln equity raise -sources

Sept 25 (Reuters) – J.C. Penney Company Inc is
looking to raise as much $750 million to $1 billion in new
equity to build up its cash reserves as the holiday season
approaches, according to three people with knowledge of the
matter.

Penney, whose shares have fallen 49 percent so far this
year, has a market value of $2.6 billion. The U.S. department
store chain is leaning toward issuing new shares, the sources
said, although other methods of raising capital are also on the
table.

Sep 20, 2013

J.C. Penney in talks to raise more money: source

By Olivia Oran and Phil Wahba

(Reuters) – J.C. Penney Co Inc (JCP.N: Quote, Profile, Research, Stock Buzz) is looking to raise more money, possibly through a combination of debt and equity, according to a source familiar with the matter.

Goldman Sachs (GS.N: Quote, Profile, Research, Stock Buzz) is advising Penney, the source said, adding that the U.S. retailer is in early talks with banks and institutional investors. The company is evaluating all alternatives with regard to raising capital, the source said.

Sep 17, 2013

Sycamore takes 8 percent stake in Aeropostale

By Phil Wahba

(Reuters) – A buyout firm with a record of taking troubled retailers private disclosed on Tuesday that an affiliate had taken an 8 percent stake in Aeropostale Inc (ARO.N: Quote, Profile, Research, Stock Buzz), sending the struggling teen apparel retailer’s shares up as much 19.5 percent.

Between August 23 and September 11, Sycamore affiliate Hummingbird LLC bought 6.25 million Aeropostale shares at prices ranging from $8.2723 to $8.7564 each, according to a filing with the U.S. Securities and Exchange Commission.

Sep 15, 2013

Retailers must work harder to merge e-commerce, stores

NEW YORK, Sept 15 (Reuters) – Bricks-and-mortar retailers
are trying to compete with Amazon.com Inc and each
other by offering what they hope is the best of both worlds -
online sales with the option of store pickups, delivery and
returns.

When successful, this so-called omni-channel shopping -
allowing customers the choice of buying in a physical store or
online – can provide better service, more inventory and faster
delivery options, e-commerce experts said at the Reuters Global
Consumer and Retail Summit in New York last week.

Sep 9, 2013

Bodum sues J.C.Penney for poor shop-in-shop rollout

By Phil Wahba

(Reuters) – Upscale coffee-press maker Bodum Group has sued J.C. Penney Inc Co (JCP.N: Quote, Profile, Research, Stock Buzz) for breach of contract, saying the retailer did not deliver on its promise to build and roll out modern, chic shops within its stores to showcase Bodum’s wares.

Bodum and Penney had reached a deal in November 2012 to have Penney prominently feature Bodum houseware products and Ordning & Reda office and stationery products as part of its now abandoned plan to transform its department stores into collections of “shop in shops.”

Sep 9, 2013

Neiman Marcus sold for $6 billion to Canada Pension Plan, Ares

NEW YORK/TORONTO (Reuters) – The owners of Neiman Marcus Inc NMRCUS.UL agreed to sell the U.S. luxury department store chain to two private investors for $6 billion, almost $1 billion more than they paid for the company in 2005.

The buyers, Ares Management LLC and the Canada Pension Plan Investment Board (CPPIB), said on Monday they will split ownership equally, with an undisclosed minority stake going to current management.

Sep 9, 2013

Traditional U.S. stores fight Amazon for online sales

By Phil Wahba and Lisa Baertlein

(Reuters) – U.S. bricks and mortar retailers are racing to catch up with e-commerce giant Amazon.com in fast-growing online sales.

Retailers ranging from department store Macy’s Inc (M.N: Quote, Profile, Research, Stock Buzz) to discounters like Wal-Mart Stores Inc (WMT.N: Quote, Profile, Research, Stock Buzz) are linking online and in-store inventory systems, speeding shipping and promoting exclusive products to counter Amazon, which dominates U.S. online sales.

    • About Phil

      "Phil Wahba joined Reuters in 2008 and has covered the exchanges, equity capital markets (IPOs), corporate bankruptcies and now covers retailers such as department stores and booksellers."
      Hometown:
      Montreal
      Joined Reuters:
      2008
      Languages:
      English, French, Spanish, German and Danish.
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