Ric Clark and Rick Markee have been appointed to Macy's board of directors with immediate effect. They will join the committee responsible for overseeing and assessing Arkhouse's bid to acquire the department store and making recommendations to the board on the acquisition proposal.
“The appointment of Clark and Markee to the board and the finance committee, which is tasked with reviewing our proposal and any alternative transactions, will ensure that our discussions continue to be constructive and that our proposal is treated seriously and expeditiously,” said Gavriel Kahane and Jonathon Blackwell, managing partners at Arkhouse. “We appreciate the Board’s engagement and look forward to working with them to unlock shareholder value.”
Paul Varga, the lead independent director of Macy’s Inc. commented that the composition of its board is something the department store takes “seriously” and is committed to acting in “the best interests” of all Macy’s shareholders.
The board reshuffle comes as Arkhouse progresses in its efforts to take the US department store private, a deal that Macy’s had previously opposed.
Arkhouse first submitted an offer to take the retailer private in 2023. The investment firm, working with Brigade Management, increased its offer multiple times, the latest being an “all-cash” proposal in March.
At the time, GlobalData’s retail managing director analyst Neil Saunders said the move signaled Arkhouse and Brigade’s intent to not give up on buying Macy’s.
Macy’s has also announced that Tony Spring will assume the role of chairman alongside his role as CEO. Douglas (Doug) W. Sesler, nominated for the board earlier in March, now joins as an independent director.
“Ric and Rick bring leadership experience as well as valuable real estate and retail industry expertise, respectively, that is complementary to that of our other board members,” said Spring. “We are confident the company will benefit from their additional perspectives in addition to those of Doug who also joins our board today.”
These transitions follow the planned retirements of Jeff Gennette and Frank Blake from the Macy’s board.
With these latest appointments and retirements, Macy’s board now comprises 15 directors, of which 14 are independent. The board continues to engage with Arkhouse and Brigade regarding their proposal to acquire the company, with discussions facilitated by a confidentiality agreement enabling due diligence.
In February 2024, Macy’s announced that it would close around 150 “underproductive” stores, just weeks after Spring stepped into the top job to “return Macy’s to enterprise growth.”
