J.C. Penney to Take Stake in Martha Stewart Living Omnimedia Wednesday, December 7, 10:13 AM ET
J.C. Penney (NYSE:
JCP) said today it will acquire a 16.6% stake in Martha Stewart Living Omnimedia ( MSO) for about $38.5 million, or $3.50 per share.
With the stake, J.C. Penney will form a 10-year partnership with Martha Stewart Living, creating stores-within-stores dedicated to Martha Stewart products staffed by specially trained employees.
The companies will also jointly develop an e-commerce site. The retail and online changes will be launched in 2013.
Martha Stewart Living will receive more than $200 million from the partnership.
In a report on the partnership, The New York Times said Martha Stewart will continue its relationships with other retailers like Macy's (NYSE:
M) and Home Depot (NYSE: HD).
Martha Stewart Living had hired the Blackstone Group (NYSE:
BX) in May to explore the company's strategic options.
The New York Times noted that the partnership has been masterminded by new CEO Ron Johnson, the architect of Apple's (NASDAQ:
AAPL) retail stores, who J.C. Penney brought in to revamp the company.
Martha Stewart Living Omnimedia shares are seeing strong gains Wednesday, while J.C. Penney shares are seeing a more modest gain.
For MarketNewsVideo.com, I'm Sayoko Murase.
Thursday Sector Laggards: Advertising, Hospital & Medical Practitioners
Related symbols: GRPN, MDCA, CYH, QHC
Thursday Sector Leaders: Water Utilities, Trucking Stocks
Related symbols: SJW, WAAS, SWFT, KNX
Wednesday Sector Laggards: Precious Metals, Medical Instruments & Supplies
Related symbols: TRX, AUMN, QTNT, EW
Thursday's ETF with Unusual Volume: DSI
Related symbols: DSI, AMD, BMY, SFLY, ESND
Thursday's ETF Movers: XOP, ICF
Related symbols: WLL, COP, EXR, DLR, ICF, XOP
IYR, DRIP: Big ETF Outflows
Related symbols: IYR, DRIP, SPG, AMT
Daily Dividend Report: TXN, WCN, XOM, TWX, PX, HUM
Related symbols: TXN, WCN, XOM, TWX, PX, HUM
Daily Dividend Report: AAPL, WFC, CMCSA, SPG, MET
Related symbols: AAPL, WFC, CMCSA, SPG, MET
Daily Dividend Report: V, AEP, BRX, IBM, GM
Related symbols: V, AEP, BRX, IBM, GM
Weekly Market Wrap: August 14, 2015
Related symbols: BAC, AMAT, AAPL, S, SYY
Weekly Market Wrap: August 7, 2015
Related symbols: SUNE, BAC, CHK, GRPN, AAPL
Weekly Market Wrap: July 31, 2015
Related symbols: BAC, MU, AAPL, SUNE, FB
Week Ahead Market Report: June 8, 2015
Related symbols: BAC, FTR, AAPL, INTC, MNKD
Week Ahead Market Report: May 18, 2015
Related symbols: BAC, AAPL, VALE, T
Week Ahead Market Report: May 4, 2015
Related symbols: BAC, AAPL, MSFT, ICLD, NOK
All videos » |
Stock market definitions »
J.C. Penney to Take Stake in Martha Stewart Living Omnimedia
| Market News Video | Copyright © 2008 - 2016, All Rights Reserved
Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes
only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners.
In no way should any content contained herein be interpreted to represent trading or investment advice.
None of the information contained herein constitutes a recommendation that any particular security, portfolio,
transaction, or investment strategy is suitable for any specific person. All viewers agree that under no
circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held
liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.