According to a Bloomberg report, Steven Roth resigned from JC Penney Co's board of directors. This was after Vornado Realty Trust announced selling its stake in JC Penney. Roth was the Chairman and Chief Executive Officer of Vornado Realty.
The real estate investment trust said it would exit JC Penney holding in the "not-too-distant future." This was according to a filing with the US Securities and Exchange today. Vornado owns around 6.1% in JC Penney making it the sixth biggest shareholder, according to a data compiled by Bloomberg.
Citigroup Inc. analyst Deborah Weinswig said, "We don't think Roth's resignation or Vornado's decision to sell its stake comes as a surprise to investors. It's not surprising, given that Ackman, Vornado's investment partner, resigned a month ago.
Yesterday, the shares of JC Penney fell 0.7% to USD13.82 at the close of trading in New York. The retailer's stock had slumped 57% since October 8, 2010 when Vornado and Pershing announced their investments to JC Penney.
Join the Conversation