BJ’s Wholesale Club Inc. is close to hiring an adviser to help explore strategic alternatives and it plans to consider the possible sale to a private equity firm, the New York Post reported citing a source close to the retailer. The newspaper added Leonard Green & Partners, a private equity firm in Los Angeles, is seen as the most likely acquirer. The Post also said BJ’s Wholesale could fetch as much as $3 billion.
(Reuters) – BJ’s Wholesale Club Inc (BJ.N: Quote, Profile, Research, Stock Buzz) is close to hiring an adviser to explore strategic alternatives, including a possible sale to a private equity firm, the New York Post said, citing a source close to the retailer.
The sale of the No.3 U.S. warehouse club operator could fetch as much as $3 billion, the Post said.
Los Angeles-based private equity firm Leonard Green & Partners is seen as the most likely buyer, the newspaper said.
In July, a fund run by Leonard Green said it had taken a 9.5 percent stake in BJ’s and that it might propose taking the company private. [ID:nN18267726]
A BJ’s spokesperson declined to comment to the Post. Both the companies could not immediately be reached for comment by Reuters outside regular U.S. business hours.
Leonard Green has about $9 billion in equity capital under management. Founded in 1989, it has invested in 51 companies with aggregate value of $43.4 billion.
(Reporting by Sakthi Prasad in Bangalore; Editing by Jon Loades-Carter)