UPDATED –
Los Angeles-based, Oaktree Capital Management, is reportedly interested in buying Myer, as it looks to snare a bargain should the department store giant enter voluntary administration. The news comes as major shareholder, Solomon Lew, warns of dire consequences.
Oaktree is known for investing in the Australian market, including acquiring a stake in Nine Entertainment when the media giant was on the brink of collapse.
The LA-based firm also bid on Ten after it entered receivership, and previously invested in surf label, Billabong, during hard times.
[John King – Source: Inspired Leaders]
Consensus is, the chance of Myer entering voluntary administration is slim, noting relatively low debt levels.
As previously reported, Myer’s lease liabilities remain a hurdle, with collapse on the horizon should sales continue to fall.
Earlier this week, Myer saw its shares soaring ~15%, after revealing a better-than-expected quarterly update.
The news follows the appointment of new CEO, John King, who is expected to start June 4th.
Myer’s market value is currently around $360 million – a significant decrease from $2.3 billion just under a decade ago.
