December 6, 1988 |
Zayre Corp., in a move to boost profits after the sale of its money-losing Zayre Stores unit in October, said Monday that it will spin off its Warehouse Clubs division and then buy the 17% of TJX Cos. it does not already own. Zayre said it would change its name after the merger to TJX Cos. effective at the Zayre annual meeting in June. Zayre had spun off a minority interest in TJX, a profitable off-price retailer, in 1987. One analyst said the deal would value TJX at $32 a share or about $1.
May 26, 1987
The Framingham, Mass.-based retailer said it will sell 16% of its ownership for $200 million in a bid to raise cash and bolster its stock price. Zayre shares last week advanced $2.125 to $26 in heavy trading as Wall Street responded favorably to the plan, which places a value of about $1.2 billion on the off-price division as a whole. The offering will give stock market investors the first chance to buy shares of a large off-price business, aside from such regional chains as Syms Corp.
September 16, 1986
Malcolm L. Sherman has been named chairman of Zayre Stores, a division of Framingham, Mass.-based Zayre Corp.
September 16, 1988 |
Zayre Corp., the Massachusetts retailer that owns Fullerton-based HomeClub, has agreed to sell its ailing discount-store division to Ames Department Stores in a deal valued at about $800 million. With Zayre's 388 discount department stores, Ames will roughly double the number of discount stores it operates--and more than double its revenue--making it the third-largest discount retailer in the country.
October 15, 1992 |
Ames Sues Investment Bank Over Advice: Ames Department Stores Inc. filed a $375-million lawsuit against investment bank Wertheim Schroder & Co. for offering alleged faulty advice in a takeover that eventually forced Ames into bankruptcy. Wertheim was the investment banker for Ames in the $788-million takeover of Zayre Corp. in 1988, which gave the company 392 stores in New England but also saddled it with huge debts.
August 17, 1988 |
J. C. Penney Co., the nation's third-largest retailer, said Tuesday that its profit declined 21.3% in the second quarter, and No. 5 retailer Zayre Corp. said it had a $21.9-million loss. Dayton Hudson Corp., which operates the Mervyn's chain, said its second-quarter profit rose 24%. Chicago-based Carson Pirie Scott lost $8.1 million; it had a $45.7-million loss in the year-ago quarter.