By RTT News,
December 23, 2013, 02:15:00 PM EDT
(RTTNews.com) - Jos. A. Bank Clothiers has rejected a $1.5 billion takeover bid by rival Men's Wearhouse.
After weeks of consideration, Bank said today that the $55 per share bid put forth by Men's Wearhouse 'significantly undervalued the company and its near and long-term potential and was not in the best interest of the company's shareholders.'
The two biggest names in men's suiting and formal wear have been unable to come to terms on a merger for more than a year.
Bank initially offered to buy Men's Wearhouse, triggering back-and-forth offers to create a single entity.
Commenting, Robert Wildrick, Chairman of Jos. A. Bank, said the company will "continue to review acquisition opportunities that would represent a strong strategic fit with our Company and provide an opportunity to leverage our core competencies to drive meaningful growth, synergies and substantial value creation over the long term."
Men's Wearhouse responded this afternoon in a statement posted to the company's website.
"While it is our strong preference to work collaboratively with Jos. A. Bank to realize the benefits of this transaction, we are continuing to carefully consider all of our options to make this combination a reality, including nominating director candidates at Jos. A. Bank's next annual meeting of shareholders," Men's Wearhouse said.
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