The deal, which is for an undisclosed amount, is slated to close in the second quarter.Federated Department Stores (NYSE:FD) in New York City and Boscov”s today said they have signed an agreement for the latter to buy 10 mall department stores from Federated for an undisclosed sum. The transaction is slated to close in the second quarter.
The 10 stores are duplicate locations that Federated had targeted for divestiture as a result of its recent purchase of The May Department Stores.
In New Jersey, BoscovÂs is picking up StrawbidgeÂs in the Deptford Mall. The other stores are located across Pennsylvania and Maryland. Clearance sales at the stores earmarked for transfer kicked off late last month.
Federated had previously announced that proceeds from the transaction will be included in the $400 million to $500 million of after-tax proceeds expected from its sale of duplicate stores nationwide.
Boscov”s, founded in 1921 and headquartered in Reading, Penn., is the largest family-owned department store company in the U.S.