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Agenda-setting intelligence, analysis and advice for the global fashion community.

Why Activist Investors Are Targeting Department Stores

Hedge funds are urging Kohl’s and Macy’s to consider radical changes to how they operate as the retailers struggle to reverse decades of decline.
A Kohl's store on the morning of Black Friday in Middletown, NJ.
A Kohl's store on the morning of Black Friday in Middletown, NJ. (Getty)

Change is coming to department stores – whether they like it or not.

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Further Reading

Does the E-Commerce Spinoff Make Sense?

This week, Saks Fifth Avenue’s online arm appeared to be headed for a $6 billion IPO while an activist investor pushed Macy’s to follow suit and spin off its own e-commerce unit. But splitting up online and offline businesses, while tempting in the short-term, may be detrimental to long-term value creation.

About the author
Cathaleen Chen
Cathaleen Chen

Cathaleen Chen is Retail Editor at The Business of Fashion. She is based in New York and drives BoF’s coverage of the retail and direct-to-consumer sectors.

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