BJ's Explores Possible Sale
Posted on February 3, 2011 by
WESTBOROUGH, Mass.--BJ's Wholesale Club has begun to look into the possibility of a company sale, along with other "strategic alternatives," according to a company statement.
An independent committee of the warehouse-club retailer's board of directors will determine the best course of action and make a recommendation. The committee has engaged Morgan Stanley as its financial adviser in this process. In the statement, BJ's emphasized that it "has not made a decision to pursue any specific strategic transaction or other strategic alternative." The company also said there is no assurance that the committee's work will result in a sale or any other transaction.
BJ's also said no timetable has been established for the process, and that it will not provide updates or other comments on the committee's work.
Through the third quarter of its current fiscal year, BJ's posted net income of $84.8 million, up 10.5 percent from the same period in the prior fiscal year, and net sales of $7.8 billion, 8.6 percent ahead of the prior year. Through January, its same-store sales rose 4.4 percent over the same period last year, 2.4 percent when factoring out gasoline sales.