Home Textiles Today Staff // News & Commentary • April 17, 2020. Stein Mart Contact: Linda L. Tasseff Director of External Communications and Investor Relations ltasseff@steinmart.com (904) 858-2639 Kingswood Capital Contact: Lauren Pan Head of … The two sides on April 16 announced they agreed to terminate the deal, citing the “unpredictable economic conditions” from the pandemic as well as uncertainty over Stein Mart’s ability to satisfy closing conditions. Stein Mart also reported a net loss of almost $66 million. Stein Mart's bankruptcy is one of many steps the company has taken to remain viable. Kingswood Capital Contact: Stein Mart Inc., a discount department store chain with a location at South Mall in Salisbury Township, on Wednesday announced that it filed for Chapter 11 bankruptcy protection. ... but that deal with Kingswood Capital Management was put on ice when the pandemic threw the … Stein Mart and Kingswood cut ties Split triggered by COVID-19 impacts.
Stein Mart Contact: Linda L. Tasseff Director of External Communications and Investor Relations ltasseff@steinmart.com (904) 858-2639. At the time, Stein Mart also was exploring additional sources of financing and other alternatives, including a sale of the company. With cash flows dwindling, Stein Mart’s debt also increased $44 million in the quarter, to almost $198 million.
The coronavirus pandemic has accelerated the demise of another long-struggling national retailer. All stores were reopened by June 15, but Stein Mart continued to see lower in-store traffic. The decision was mutual, Stein Mart … Facing a threat of falling off the Nasdaq Stock Market, Stein Mart Inc. has entered into a merger deal to become part of the private equity firm Kingswood Capital Management L.P. In January, Stein Mart announced it would be acquired by an affiliate of private investment firm Kingswood Capital Management LP, which would buy all Stein Mart stock not already owned by … Discount retailer Stein Mart Inc. has agreed to be taken private by a unit of Kingswood Capital Management LP for 90 cents a share in cash, the company said Friday. For its quarter ended May 2, the retailer reported net sales of $134 million, down from $314 million in the year-earlier period. I would like to thank all of our employees for their dedication and support.” Stein Mart had long been challenged, announcing in early 2018 that it had hired advisers to “identify potential strategic alternatives” and improve performance. A week later, Stein Mart began the staggered reopening of its stores, which had all been closed since March 19 due to the pandemic. In January, Stein Mart announced it would be acquired by an affiliate of private investment firm Kingswood Capital Management LP, which would buy all Stein Mart stock not already owned by former CEO Jay Stein. Stein Mart, with a Florida store pictured here, has filed for bankruptcy and plans to close most, if not all, its stores. Stein Mart reached a deal to be acquired and taken private by Kingswood Capital Management for 90 cents per share, according to a press release. The decision was mutual, Stein Mart said yesterday in a statement.Originally forged January 31, the merger agreement called for an affiliate of Kingswood to acquire all of the outstanding common stock of Stein Mart not already beneficially owned by affiliates of the retailer’s former CEO and current chairman Jay Stein and related investors.Stein Mart blamed the breakup on several factors: the unpredictable economic conditions resulting from the global health crisis caused by the COVID-19 pandemic; uncertainty regarding Stein Mart’s ability to satisfy the conditions to closing; and the substantial expense to Stein Mart of soliciting shareholder approval for a transaction, which the retailer noted “is unlikely to close.”The termination was approved by Stein Mart’s board of directors (other than Jay Stein), acting on the recommendation of the special committee of independent directors that oversaw negotiation of the merger agreement.“While we both believed in the benefits of the proposed transaction, we have mutually concluded after careful consideration that given the current environment and significant uncertainty, it would not be prudent to continue to pursue the transaction,” said Richard L. Sisisky, Stein Mart Board member and chairman of the special committee, and Alex Wolf, managing partner of Kingswood, in a joint statement.Home Textiles Today is the market-leading brand covering the home and textiles markets, offering a comprehensive package of print and online products. The bid represents a 38% premium … Stein Mart and Kingswood Announce Mutual Termination of Merger Agreement. The daily update for the Lehigh Valley business person.
The price is equal to a … Home Textiles Today provides industry news, product trends and introductions, exclusive industry research, consumer data, store operations solutions, trade show news and much more.Sign up to get exclusive industry information delivered directly to your inbox. At South Mall, Stein Mart is an anchor and one of the mall’s largest remaining tenants, after “The combined effects of a challenging retail environment coupled with the impact of the coronavirus (COVID-19) pandemic have caused significant financial distress on our business,” Stein Mart CEO and CFO Hunt Hawkins said in a news release. Jacksonville, FL – The merger agreement between Stein Mart, Inc. and Kingswood Capital Management, L.P. is null and void. “The company has determined that the best strategy to maximize value will be a liquidation of its assets pursuant to an organized going-out-of-business sale. The company, which has 281 stores across 30 states, “expects to close a significant portion, if not all, of its brick-and-mortar stores.” Stein Mart has launched a store closing and liquidation process, and is evaluating strategic alternatives, including the potential sale of its e-commerce business and related property. Dr. Gautham Vadakkepatt, director of the Retail Center at George Mason University's School of Business, said when the Stein Mart merger fell apart, bankruptcy began to look inevitable, …