The Kohl’s logo is displayed on the exterior of a Kohl’s store on January 24, 2022 in San Rafael, California.
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Kohl’s said Friday it believes recent takeover offers undervalue its business in light of future growth and cash flow generation, following a review by independent financial advisors.
The off-mall retailer also said it has adopted a shareholder rights plan, otherwise known as a “poison pill,” in order to avert a hostile takeover.
Kohl’s shares were falling around 2% in premarket trading.
“The valuations indicated in the current expressions of interest which it has received do not adequately reflect the company’s value in light of its future growth and cash flow generation,” Kohl’s said in a statement.
It added that its board of directors is committed to maximizing long-term shareholder value and will review and pursue opportunities that Kohl’s believes will “credibly lead to value consistent with its performance and future opportunities.”
Kohl’s said it has a designated finance committee, comprised exclusively of independent directors, to lead an ongoing review of any future expressions of interest in the company. It is also working with Goldman Sachs and PJT Partners on those efforts.
Kohl’s said it will provide more updates on its initiatives during an investor day set for March 7.
Read the full press release from Kohl’s here.
This story is developing. Please check back for updates.
