Saks Fifth Avenue Parent Company to Acquire Neiman Marcus

Hudson's Bay Company Signs Deal for Upscale Rival

Massive Consolidation in the Luxury Retail Market Expected

The parent company of Saks Fifth Avenue, Hudson's Bay Company, has reportedly agreed to purchase upscale rival Neiman Marcus Group. The deal, which is expected to close in mid-2023, would mark a major consolidation in the luxury retail market.

Neiman Marcus Group is the owner of both Neiman Marcus and Bergdorf Goodman. The company operates a total of 34 stores across the United States. Hudson's Bay Company, on the other hand, operates a portfolio of brands that includes Saks Fifth Avenue, Lord & Taylor, and Gilt.

The deal is expected to be valued at approximately $2 billion. It is the latest in a series of acquisitions that have occurred in the retail sector in recent years. In 2019, LVMH Moët Hennessy - Louis Vuitton acquired Tiffany & Co. for $15.8 billion. In 2020, Nordstrom acquired Trunk Club for $350 million.