Tuesday, November 16, 2010

Is BJ's Wholesale Club For Sale?

Don't know if you all have been catching the rumors like we have in some clubs, but according to multiple reports, BJ's is apparently up for auction.  

BJ's Wholesale Club is rumored to have hired Morgan Stanely to help sell the company after receiving an offer from private-equity firm Leonard Green & Partners LP. Any deal would likely be with private-equity funds and not another retailer. BJ's cash doubled in the second quarter, making it attractive for a takeover. A buyout may be valued at as much as $2.75 billion, and the transaction would be the biggest in the sector since 2007. Leonard Green & Partners has holdings in such retailers as Whole Foods Market Inc., and Petco Animal Supplies Inc. " Month to month, BJ's has been under-performing, it seems like a good candidate for a going-private transaction."

Have any of you heard rumors in your stores?  Has the environment changed at all?

Read the entire story @ Business Week