On May 06, 2021, it was reported, ODP Corp., parent of Office Depot, said its board has approved a plan to split the company into two publicly traded companies. Under the plan, ODP would retain its retail consumer and small-business products and services division, which includes some 1,100 Office Depot and OfficeMax stores and e-commerce site. ODP's Business Solutions Division contract business and independent regional office-supply distribution operations would be spun off as a new and separate company. (The business solution unit accounted for about half of the company's fiscal 2020 sales.) In addition, the new entity will also own ODP's newly formed business-to-business digital platform technology business, as well as the company's global sourcing office and its other sourcing, supply chain and logistics assets. The transaction, expected to be completed in the first half of 2022, will occur through a distribution of shares of the new company as a tax-free dividend to ODP's shareholders.
On May 04, 2021, it was reported, Best Buy President and Chief Operating Officer Mike Mohan is stepping down from his post, effective July 1, according to a securities filing. The retailer said it does not plan to fill the COO role after Mohan departs. Instead it plans to distribute his responsibilities around Best Buy's executive leadership team. After leaving, Mohan is set to receive $1 million in cash in lieu of annual incentive compensation for the year.
On May 04, 2021, it was reported, David's Bridal has closed on a $70 million term loan provided by CPPIB Credit Investments Inc., a subsidiary of Canada Pension Plan Investment Board. The new term loan matures in 2024 and will be used by the bridal and special occasion dress retailer to fund operations and for general corporate purposes. In a release announcing the loan, David's Bridal, which operates 300 stores across the United States, Canada and the U.K., and franchise locations in Mexico said it was experiencing strong momentum amid the easing of COVID-19 restrictions. "Having successfully driven our retail service levels to best in class and modernized and digitized our marketing and customer interaction processes, David's is executing well and accelerating its additional growth initiatives," said CEO Jim Marcum. "We are experiencing strong momentum as COVID-related restrictions continue to ease, weddings return, and pent-up demand from last year plays out over the course of this year." David's Bridal has undertaken a major transformation strategy that includes innovative solutions to better serve their customer, including the launch of its first-ever loyalty program, the addition of 3D and AR technologies 3D and augmented reality technologies on their website, a virtual stylist and appointment experience, a partnership for mens' formalwear with The Black Tux and a flexible payment option. Most recently, it announced 24-house customer support with enhanced conversational marketing services.
On April 27, 2021, it was reported, as L Brands again looks to potentially sell Victoria's Secret, the banner could fetch a higher sale price than in last year's failed deal with Sycamore Partners. The lingerie chain's parent, L Brands, has been back in talks with prospective buyers and is now eyeing a valuation of $2 billion to $3 billion for Victoria's Secret, Bloomberg reported Thursday. "As a result of the substantial improvement in performance at Victoria's Secret, various sellside analysts have valued the Victoria's Secret business at as much as $5 billion," CFO Stuart Burgdoerfer said in a statement emailed to Retail Dive and other media. "The Board and our management team continue to evaluate both a potential spin-off of the Victoria's Secret business into a separate public company and a sale of the business."
