The reasons for the Board's recommendation are set forth in a Schedule 14D-9 being filed by the Company with the Securities and Exchange Commission ("SEC"), which is also being disseminated to stockholders.
Robert N. Wildrick, Chairman of Jos. A. Bank, said, "Our Board of Directors firmly believes that the Men's Wearhouse offer is inadequate and significantly undervalues Jos. A. Bank and its near- and long-term potential."
He continued, "Our Board and the Company's management team are committed to acting in the best interests of all of our stockholders, and continuing to deliver value for them. For well over a decade, Jos. A. Bank has been among the leaders in the industry in driving exceptionally strong revenue and net income growth. At this time, the Company has a well-developed strategy in place to continue to increase revenue, substantially improve margins and deliver enhanced returns to stockholders. The Jos. A. Bank Board strongly urges stockholders to reject the Offer and not tender their shares."
In reaching the conclusions and in making the recommendation described above, the Board considered numerous factors, including but not limited to the following:
The Offer significantly undervalues Jos. A. Bank, and its future prospects. The Board has determined that the Offer does not reflect the value inherent in the Company's future prospects and its track record in creating stockholder value. The Board is confident that the Company's stand-alone plan will deliver greater value to its stockholders than would be obtained under the Offer.
The Company has received an inadequacy opinion from its financial advisor. Goldman, Sachs & Co. ("Goldman Sachs"), financial advisor to the Company, rendered an opinion to the Board that as of January 17, 2014, and based upon and subject to the factors and assumptions set forth in the written opinion, the consideration proposed to be paid to the holders (other than the Offeror and any of its affiliates) of the Company's shares pursuant to the offer was inadequate from a financial point of view to such holders.
Click here to read more
Jos. A. Bank Clothiers
Textiles | On 27th Feb 2017
The textiles ministry is positively working on the proposals for a...
Apparel/Garments | On 27th Feb 2017
The Government of Myanmar has set up a new committee, replacing an...
Textiles | On 27th Feb 2017
Invista, one of the world's largest integrated producers of chemical...
Poojaa Kumar Deepak
Zeven's performance sports apparel is designed for the Indian body type,...
Fashion industry likely to remain labour-intensive in coming years
‘France had a reputation of being big in new ideas, but poor in marketing...
Iago Castro Asensio
RCfil Distribuciones S.L.
Iago Castro Asensio, International Business Manager of RCfil...
Coating at a fibre level is a practice not usually seen in the...
Bombay Textile Research Association
Bombay Textile Research Association (BTRA) is a leading name in textile...
Bridal couture created with rich Indian heritage, exquisite craftsmanship...
Gildan Activewear SRL
Gildan Activewear, a manufacturer and marketer of branded clothing and...
Yash P. Kotak
Bombay Hemp Company
One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...