An attractive proposal was made. A public rejection shortly followed. But the pursuit continues.
It sounds like the beginning to a romantic comedy, but this story isn't fiction. It's the true story of the courtship of a menswear retailer.
On Wednesday, Jos. A. Bank publicly confirmed it had made an offer on Sept. 17 to acquire rival Men's Wearhouse for $48 per share, which represented a 42 percent premium to the stock price on the date the offer was made. Shares of Men's Wearhouse spiked to an intraday high of $45.56 on the news, but Men's Wearhouse publicly rejected the proposal.
But Jos. A. Bank isn't backing down. A banker representing the company is urging shareholders to pressure Men's Wearhouse to do a deal.
"We're very disappointed with Men's Wearhouse response," Financo founder and Chairman Gilbert Harrison told CNBC in an interview Thursday. "I did not understand the letter that [Men's Wearhouse] put out and all of the things they are doing to reinvent the company. I mean, they could have been doing this for the last six years and they haven't, so now why all of a sudden are we hearing these things that they are going to do?"
Financo is working with Goldman Sachs to complete the deal.
Harrison said he is encouraging shareholders from both companies to ask Men's Wearhouse to sit down with Jos. A. Bank and the bankers to further evaluate the deal. "We've gotten overwhelming calls from shareholders of both companies totally supportive of this transaction," he said.