This Private Equity Firm Has Upped Its Bid on Staples

Looks like Cerberus Capital Management really wants Staples. The private equity firm has upped its bid for the office supplies retailer to $7 billion.

According to StreetInsider, the firm made their bid of $7 billion after their previous bid had been rejected. The latest bid now is a premium to Staple’s current market value of $5.96 billion.

Investors are watching closely as is the Street because a deal for Staples could be reached pretty soon.
Sycamore Partners has also had an interest in the office supply chain but it’s not sure if they had made a rival bid.

It was back in April that it was announced that Staples was in early discussions with some private equity firms for a buy out. At the time the company had a market valuation of about $6.4 billion.

The Journal had reported then that Staples could have a takeover price of $7 billion or more.

Shares had their biggest intra-day move when that announcement was released since February of 2013.

Disclaimer: We have no position in Staples, Inc. (NASDAQ: SPLS) and have not been compensated for this article.