Neiman Marcus Group is an American holding company of department stores. It was established after holding company Carter Hawley Hale spun-off several of the department store chains it owned in 1987. As of 2024[update], it owns the full-line luxury stores Bergdorf Goodman (based in New York City) and Neiman Marcus (based in Dallas); off-price store Neiman Marcus Last Call; and home furnishings website Horchow.
 | |
 Neiman Marcus Group headquarters, located within the Neiman Marcus Building (2010) | |
| Company type | Private |
|---|---|
| Industry | Retail |
| Founded | 1987 |
| Fate | Pending acquisition by Hudson's Bay Company |
| Successor | Saks Global division of Hudson's Bay Company (pending) |
| Headquarters | , United States |
Number of locations | 43[a] (2024) |
Area served | United States |
Key people | Geoffroy van Raemdonck (CEO) |
| Revenue |  US$4.9 billion (2018) |
| US$251.1 million (2018) | |
| Total assets | US$7.546 billion (2018) |
| Subsidiaries |
|
| Website | neimanmarcusgroup |
Operations in the 20th century
editNeiman Marcus Group was formed by a spin-off by its parent company Carter Hawley Hale in June 1987. General Cinema (later Harcourt General) originally held 60-percent stake in the new company, and later reduced to 10-percent stake in 1999. The new company held ownership of Dallas-based Neiman Marcus (acquired by Carter Hawley Hale in 1969), New York City-based Bergdorf Goodman (acquired by CHH in 1972), and Contempo Casuals (acquired by CHH in 1979).[2]
Operations in the 21st century
editOn May 2, 2005, Neiman Marcus Group was the subject of a leveraged buyout (LBO), selling itself to two private equity firms, Texas Pacific Group and Warburg Pincus.[3]
In August 2013, Women's Wear Daily reported Neiman Marcus Group was preparing for an initial public offering of its stock.[4] In October 2013, the Neiman Marcus Group was sold for $6 billion to Ares Management and the Canada Pension Plan Investment Board.[5][6] In August 2015, the company again announced it was preparing for an initial public offering.[7] In late 2015 Neiman Marcus became a stand-alone company.
In 2018 Geoffroy van Raemdonck replaced Karen Katz as CEO.[8]
In April 2019, Neiman Marcus acquired a minority stake in Fashionphile, an online resale platform for handbags, jewelry and accessories.[9][10][11]
In July 2021, mytheresa was spun off and filed for IPO on the NYSE, valuing it at $2.2 billion which increased to $3 billion during the first day of trading.[12]
In June 2022 Neiman Marcus Group reported their highest sales volume in almost half of their stores, and sales of their 20 best-selling brands grew by 70% above pre-COVID levels in 2019. The company has also been attracting younger customers, with the average age falling by seven years from pre-pandemic levels, from the mid-40s to the high-30s.[13]
2020 bankruptcy
editNeiman Marcus Group, Ltd. LLC and 23 affiliated debtors filed Chapter 11 bankruptcy in the United States District Court for the Southern District of Texas in May 2020.[14] The debtors requested joint administration of the cases under Case No. 20-32519. According to the company's CEO, Geoffroy van Raemdonck, the filing was a direct result of the COVID-19 pandemic in the United States. The company's website, mytheresa.com, was not part of the bankruptcy.[15] At the end of September 2020, Neiman Marcus exited Chapter 11 bankruptcy, and as of 2022 is owned by a consortium of investment firms (Davidson Kempner Capital Management, Sixth Street Partners and Pacific Investment Management).[16]
Pending acquisition by Hudson's Bay Company
editToronto-based Hudson's Bay Company announced its pending acquisition of the Neiman Marcus Group on July 4, 2024. The purchase is valued at $2.65 billion, with financing facilitated by Amazon, Insight Partners, Rhône Capital, and Salesforce.[17][18] The new Saks Global division will be created to oversee Bergdorf Goodman, Neiman Marcus, and the American operations of the HBC-owned Saks Fifth Avenue. The Neiman Marcus Group stores will also become sister brands to the off-price Saks Off 5th and Canadian full-line Hudson's Bay department stores through this ownership.[19]
Nameplates
edit| Name | Year founded |
Year acquired |
Year divested |
Notes |
|---|---|---|---|---|
| Bergdorf Goodman | 1899 | 1987 | — | |
| Contempo Casuals | 1962 | 1987 | 1995 | Sold to Wet Seal |
| Horchow | 1971 | 1988 | — | |
| Mytheresa | 1987 | 2014 | 2021 | Spun-off for IPO |
| Neiman Marcus | 1907 | 1987 | — | |
| Neiman Marcus Last Call | — | — |
Notes
editReferences
edit- ^ "Store Footprint". Neiman Marcus Group. Retrieved July 5, 2024.
- ^ "The Neiman Marcus Group, Inc". Encyclopedia.com. Retrieved July 5, 2024.
- ^ Neiman Marcus in $5.1B buyout CNN Money, May 2, 2005
- ^ Moin, David (August 7, 2013). "Neiman Marcus Inches Closer to IPO". WWD. Retrieved August 7, 2013.
- ^ Moin, David (September 19, 2013). "Neiman Marcus Profits Rise". WWD. Retrieved September 19, 2013.
- ^ Moin, David (October 25, 2013). "Neiman's Deal Nearly Done". WWD. Retrieved October 25, 2013.
- ^ Halkias, Maria (August 4, 2015). "Neiman Marcus files for initial public offering of stock". The Dallas Morning News. Retrieved August 12, 2015.
- ^ Hirsch, Lauren (January 5, 2018). "Neiman Marcus names Geoffroy van Raemdonck CEO, replacing Karen Katz". CNBC.
- ^ Hanbury, Mary. "Neiman Marcus has invested in an online secondhand luxury handbag store in its bid to woo millennial and Gen Z shoppers". Business Insider. Retrieved May 15, 2019.
- ^ "Exclusive: Neiman Marcus to File for Bankruptcy as Soon as This Week-Sources". The New York Times. April 19, 2020. Retrieved April 22, 2020.
- ^ Maheshwari, Sapna; Friedman, Vanessa (April 21, 2020). "The Death of the Department Store: 'Very Few Are Likely to Survive'". The New York Times. Retrieved April 22, 2020.
- ^ "Luxury fashion platform Mytheresa valued at $2.2 billion in U.S. IPO". Reuters. January 21, 2021. Retrieved November 13, 2023.
- ^ Danziger, Pamela (June 14, 2022). "With Last Quarter Sales Up 30%, Neiman Marcus Is Prepared For Changing Economic Winds". Forbes.
- ^ Danziger, Pamela N. (December 2, 2021). "After A Year Of Sweeping Change, Neiman Marcus Holds Tight To Tradition In Its Christmas Book". Forbes.
- ^ "Neiman Marcus, the Retailer to the Rich, Stumbles Into Bankruptcy". The Wall Street Journal. May 7, 2020. Retrieved May 7, 2020.
- ^ Chitrakorn, Kati (21 September 2020). "Out of bankruptcy, Neiman Marcus plans a comeback". Vogue Business. Condé Nast. Archived from the original on 30 November 2022. Retrieved 16 February 2023.
After four months of court proceedings, the Dallas-based luxury retailer will have shed the bulk of its $5 billion debt load and gained new owners, including Davidson Kempner Capital Management, Sixth Street Partners and Pacific Investment Management, the largest shareholder controlling three of the company's seven board seats.
- ^ D'Innocenzio, Anne (July 4, 2024). "Parent company of Saks Fifth Avenue to buy Neiman Marcus for $2.65 billion". AP News. Retrieved August 5, 2024.
- ^ Harring, Alex (July 4, 2024). "Saks Fifth Avenue parent HBC to acquire Neiman Marcus Group in $2.65 billion deal". CNBC. Retrieved August 5, 2024.
- ^ "HBC, Parent of Saks Fifth Avenue, to Acquire Neiman Marcus Group for $2.65 Billion and Establish Saks Global, a Technology-Powered Luxury Retail Company". Business Wire. July 4, 2024. Retrieved July 5, 2024.