TPG Capital and Warburg Pincus LLC, two of the largest private equity firms in the United States, are now in the process of exploring a sale or public offer of shares for Neiman Marcus Group Inc. This sale transaction was confirmed with Bloomberg News by two anonymous sources familiar with the transaction.
The two private equity funds acquired the retailer back in 2005 for US$5.1 billion. The owners of the Dallas-based retailer have begun interviewing banks and have eyed Credit Suisse AG to manage the dual tranche process, according to the news report.
When sought for comment, Credit Suisse AG spokes person declined to make any comment. Emails sent to Warburg Pincus, Neiman Marcus and TPG were not returned immediately.
Both TPG and Warburg are in the early stages in exploring options as to their asset, such as finding a buyer for the lot, stock and barrel or through an initial public offer. If there is no buyer to be found or the market demand for the IPO is weak, the two may just opt for dividend recapitalization to address their specific needs, according to the Bloomberg report.
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