New York • Jos. A. Bank rejected a takeover offer from competitor Men's Wearhouse, saying the $1.54 billion bid is too low.
Men's Wearhouse said Monday that it will "carefully consider all of our options to make this combination a reality." That may include launching a proxy battle. Men's Wearhouse said it could nominate director candidates at Jos. A. Bank's next annual meeting.
It's the latest twist in the effort to combine the two companies. Putting the two together would create a men's clothing powerhouse with more than 1,700 outlets. In September, a few months after Men's Wearhouse ousted its founder and chairman, George Zimmer, Jos. A. Bank offered to buy its larger rival for $2.3 billion, or $48 per share. Men's Wearhouse turned down that offer, and after Jos. A. Bank dropped the bid, Men's Wearhouse turned the tables with its own offer, for $1.54 billion, or $55 per share.