Private Equity Firms to Buy Michaels Stores

Arts-and-crafts chain Michaels Stores Inc. agreed to a $6-billion buyout by Bain Capital and Blackstone Group in the largest retail acquisition in more than a year.

Irving, Texas-based Michaels has about 900 Michaels stores and 165 Aaron Brothers outlets. The retailer posted sales of $3.68 billion last year.

Bain and Blackstone will pay $44 a share, 6.7% higher than Michaels' Friday closing price of $41.24, up $3.24 for the day.