Nordstrom Heirs Consider Taking Struggling Department Store Chain Private

The Nordstrom family is exploring options to regain full control of the luxury department store chain by taking the company private.

Nordstrom store
Nordstrom Dadeland Mall Miami

The company announced Thursday that six Nordstrom heirs are looking into buying 70% of the company (they already own 30%) in a deal that would near $10B, the Wall Street Journal reports. Allen Questrom, a former CEO of Neiman Marcus, Macy’s and JC Penney told the WSJ that taking Nordstrom private would essentially be a long-term bet on the future of retail.

Though luxury retail was considered immune to the highs and lows of the economy in past years, high-end retailers are now feeling the impact of shifting consumer preferences. Retailers are gearing up to close more stores this year than at anytime in the last two decades, but Nordstrom could be in a stronger position than most, the Journal reports.

Nordstrom has fewer locations than Macy’s, JC Penney and Sears, which recently announced 66 additional store closures, and Nordstrom is mostly in high-end malls. The retailer’s stock jumped 10% Thursday to $44.63 after news broke that the family is considering taking the company private.

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