MENOMONEE FALLS — Kohl’s Corp. is in negotiations to sell the company to the group that runs Vitamin Shoppe stores.
The Milwaukee Journal Sentinel reported that the Menominee Falls-based retailer said Monday that it has entered negotiations with Franchise Group Inc. to acquire the company at $60 per share. That translates to about $8 billion.
Franchise Group posted a statement saying it plans to finance the purchase by issuing $1 billion of debt and use the value of Kohl’s real estate holdings to finance the rest.
Kohl’s shareholders would receive $60 cash for each of their shares. The price is a nearly 43% premium to Kohl’s closing stock price of $42.12 during regular stock trading on Monday.
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In addition to Pet Supplies Plus and The Vitamin Shoppe, Franchise Group’s brands include American Freight, Badcock Home Furniture & more, Buddy’s Home Furnishings and Sylvan Learning.
Kohl’s has more than 1,100 stores and about 100,000 employees across the country, including about 8,000 in Wisconsin. About half of them work at the Menominee Falls headquarters.
Kohl’s has been under pressure from activist investors to either improve the company’s performance and its stock price or sell the company outright. The sale would be subject to approval by both companies’ board of directors.
Photos: A look back at Westgate Mall over the years
Westgate Mall 1950s
An aerial view of Madison’s West Side, which appears to show the future site of Westgate Mall. The Beltline is left to right in the lower part of the photo. The photo isn’t dated but is believed to be from the late 1950s. Westgate opened in 1960.
Aerial view, 1959
J.C. Penney in Westgate, 1960
The management staff of the new J.C. Penney department store gather around specially designed spotlights for their jewelry counters.
Grand opening, 1960
An evening view of the Westgate Shopping Center reflected in a Montgomery Ward store window at the time of opening, while the center was still partially under construction.
Montgomery Ward, 1960
Mr. and Mrs. Tony Krantz of Verona take part in a square dance at the new Montgomery Ward store’s open house Sept. 13, 1960.
S.S. Kresge Store, 1960
Interior view of the S.S. Kresge Store, which was the first to open in Westgate. It’s pictured March 9, 2960.
Westgate parking, 1960
An elevated view of the parking lot at the Westgate Shopping Center on July 30, 1960. The storefronts are on the left and include Ragatz Shoes, Three Sisters, S.S. Kresge Co., Pearson and the Piggly Wiggly.
Westgate, 1965
The parking lot at Westgate Shopping Center in August 1965.
Westgate, 1974
Photo taken in March 1974.
Westgate Mall, 1995
A Milwaukee company is taking over management of Westgate Mall, above, and Whitney Square at Odana Road and Whitney Way in Madison.
Westgate Mall, 1996
Westgate Mall’s $2 million facelift, shown here in June 1996, includes work on the shopping center’s exterior, interior and parking lot, the first updating of the 34-year-old far West Side shopping center since the early 1970s. The exterior is getting a new stucco finish, which will feature three shades of taupe. The parking lot is being redesigned, repaved and restriped, and new lights will be installed to improve light levels and traffic movement, said Stan Sapiro of the Milwaukee-based Polacheck Co., which took over management of the mall last summer. The main entrance will feature a tree-lined pedestrian path. Interior refurbishing includes replacement of the floor in the common areas, new lighting and the addition of signs featuring a new mall logo. The 240,000-square-foot shopping center is owned by RIK Inc., a real estate holding company based in Des Moines, Iowa.
Westgate, 1996
Westgate Mall had a new logo and look inside, in October 1996, part of a multimillion-dollar remodeling effort.
Westgate Mall 1997
From Whitney Way, construction of the $10 million addition to Epic Systems Corp. appears to rise from Westgate Mall, shown here in March 1997. The addition nearly triples the size of Epic, which is located in the former Odana School at 5301 Tokay Blvd., northeast of the shopping center.
Westgate Mall 2004
Crossing this busy median break, shown here in August 2004, on Whitney Way between Odana Road and Tokay Boulevard was one of the more precarious maneuvers Madison drivers could undertake in 2003. More crashes happened here than any other intersection in the city.
Westgate Mall 2005
Westgate Mall officials hope to boost customer traffic with the introduction of a new anchor store. Photo is from February 2005.
Westgate Mall 2005
Westgate Mall, photographed Feb. 17, 2005, near the central entrance, facing north.
Westgate Mall 2005
Cindy Brekken, back from left, Barbara Rosser, Cathy Gauthier and Joanne Gauthier stroll Westgate Mall in December 2005.
Westgate Mall 2007
The Madison Cosmetology College, previously called the Scientific College of Beauty and Barbering, was a fixture at Westgate Mall for many years. It’s shown here in February 2007.
Westgate Mall 2007
Empty storefront at Westgate Mall in April 2007.
Famous Footwear, 2007
Famous Footwear in Westgate Mall, said to be Madison’s first enclosed shopping center, is shown here in April 2007. Changes planned at the time included an infusion of new retail and construction at Westgate Art Cinemas. The mall now leases more space to service businesses and offices and is 91 percent leased with 33 retailers.
Bead Bin, 2007
Bead Bin is shown at Westgate Mall in April 2007
Marquee, 2007
Westgate Art Cinemas, an anchor at Westgate Mall, photographed in May 2007. It was planning to soon serve alcohol and refurbish its theater.
Demolition, 2012
In this May 2012 photo, demolition is under way on the south end of Westgate Mall, near Whitney Way and Odana Road, to make way for a Hy-Vee grocery store.
Making way for Hyvee, 2012
Demolition at Westgate Mall is shown May 17, 2012. Space was being cleared for an 80,500-square-foot grocery store run by Iowa-based Hyvee.
Hyvee opens, 2013
The Westgate grocery store, shown in May 2013, was Hy-Vee’s second in Madison.
Considering redevelopment, 2016
Missouri-based R.H. Johnson is mulling a redevelopment of Westgate Mall off of South Whitney Way in Madison. When this photo was taken in June 2016, the center had about 24 vacant stores.
Flood damage, 2018
On Sept. 5, 2018, Tom Daniels walks past a pile of trading cards and other merchandise piled in front of his Baseball Card Shoppe at Westgate Mall. The 1,200-square-foot store was inundated with nearly four feet of water in August that damaged a large portion of his inventory.
Deserted mall, 2019
A sign in the nearly deserted Westgate Mall is shown in May 2019.
Empty interior, 2019
Westgate Mall interior on May 19, 2019.
Westgate, 2019
Shoppers leave Westgate Mall after shopping at T.J. Maxx on May 19, 2019. A 2016 plan to redevelop the property never materialized.
