Retail Tycoons Are Facing Difficulties In Listing.

< p > global uncertainty has bad effects on the private equity market. A group of retail companies that are waiting for listing may face the awkward period of IPO closure.

A number of retail groups including Neiman Marcus, Vince, Burlington Coat Factory Warehouse Corp and Claires have applied for listing.

In particular, Neimans is facing a critical period of initial public offerings (IPO).

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The owners of P > Neimans, private group TPG and Warburg Pincus, pursue "walking on two legs". While looking for IPO listing, they hope that the retail business will continue to break through.

At this point, the escalation of the chemical crisis in Syria led to a continuous decline in the stock market.

But most respondents believe that IPO is still the best choice for Neiman.

In 2005, TPG group and Warburg group injected $5 billion 100 million into Neiman, and now they are anxious to allow investors to arbitrage.

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< p > < strong > < a > href= "//www.sjfzxm.com/news/index_c.asp" _xhe_href= "//www.sjfzxm.com/news/index_c.asp" > retail trade < /a > tycoon listing difficult < /strong > /p >

"P > Neiman Marcus department store is famous for its retail business. The banking industry treats it as a special investment object.

But during the correction period of the stock market, Neiman's appeal may be on the rocks: retail growth is slow, expenditure can not be reduced and capital gains tax increases, all of which are affecting private equity pactions.

"The way to IPO is right.

The owner of a retail group needs cash flow, "an investor said." I don't know if the private equity will enter the retail group, but I think the public shareholders can provide cash flow. "

Financo chairman Gilbert Harrison (Gilbert Harrison) also said: "I believe Neiman is more suitable for public offerings."

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< p > > a href= "//www.sjfzxm.com/news/index_c.asp" _xhe_href= "//www.sjfzxm.com/news/index_c.asp" > Neiman < /a > the asking price is 6 billion dollars.

The news came out, and the Saks Group Co operated with KKR &Co. to offer a bid to Neiman.

Subsequently, Neiman rejected the merger.

"There were some hundred million investors in the Middle East who stared at Neiman Marcus.

But after the second quarter of the retail industry's earnings report, they hesitated.

A former retail executive said, "Neiman is a unique brand, but the asking price of $6 billion is really too high."

A banker who did not want to be named also said, "Neiman is a unique asset, but it is not worth the price.

It may need to lower its expectations.

I have seen too many such pactions. For buyers, the most important thing is brand value and value-added space.

Neiman's brand value is a powerful backing, but there are too few buyers who can pay the price. "

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< p > > a href= "//www.sjfzxm.com/news/index_c.asp" _xhe_href= "//www.sjfzxm.com/news/index_c.asp" > Triangle Capital < /a > investment partner Richard Kestenbaum (Richard Kestenbaum) said: "everyone is calculating: economic, social, emotional, these factors will affect the purchase of retail enterprises, it is hard to say what is the main motivation.

But they will work together on such a large scale paction. "

Value added space may be a factor hindering Neiman from achieving the expected valuation.

This has forced Neiman owners to try different ways of trading.

The situation is quite different from what it was 15 years ago. It is reported that 15 years ago, Burberry and Gucci had not opened their stores to all parts of the world.

In order to find the next home, Warburg and TPG turned each rock to the bottom.

Another expert said: compared with the electricity providers and outlets, the growth space of retail sales such as Neiman is limited.

In recent years, Neiman Marcus's new stores are mainly located in the two tier cities of the United States.

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< p > KKR, CVC Capital, Galen Weston and a Qatar consortium are in contact with Neiman.

But the prediction of the final estimate was affected by the $2 billion 900 million purchase of Saks by Hudsons Bay Co..

But this is not a fair comparison. Saks can reduce the logistics staff and equipment to the parent company HBC group's shared operation system, so as to save about $one hundred million in annual funding.

In addition, the value of real estate under the name of Saks exceeds Neiman, including the former flagship store in Fifth Avenue.

In addition, HBC group's CEO Richard Barker (Richard Baker) has formulated a long-term development strategy for Saks, but Neiman lacks the long-term plan to attract investors.

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< p > at the beginning of this year, Neiman Marcus, Vince, Burlington Coat Factory Warehouse Corp. and Claires were registered in the securities and Exchange Commission.

At that time, the retail industry predicted that the economy was in a recovery mode, though at a relatively slow pace.

But in August, the outbreak of the chemical crisis in Syria gave them a head start.

The potential crisis is complex and unknowable, and it may strike the global consumer confidence to a great extent.

Although the Syria crisis has touched the nerves of the US government, the downturn during the economic recovery may lead to the closure of IPO, but "this is a difficult thing to predict".

Richard Kestenbaum, partner of Triangle Capital investment bank, believes that if Syria's chemical crisis becomes a war, it will be very likely to cause the stock market to fall.

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Paul Altman, executive manager of "P > The Sage Group investment bank (Paul Altman) said with interest:" Syria has erupted crisis at this point in time, and it is really very selective.

From a macro point of view, this uncertain factor will lead to a rise in oil prices and a challenge to consumption in the face of a bad market environment.

Philip Falat (Philippe Faraut), the general manager of the Intrepid investment bank, said that so far, mergers and acquisitions in the second half of the year have been busier.

He regarded Vince as an exception: "I think Vince will perform well in the IPO market.

Compared with other companies, Vince's brand story is strong, product quality, performance eye-catching, and in addition, they have a very active management team.

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