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Nordstrom shares jump more than 10% after news that retailer is trying to go private

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Shoppers exit the Nordstrom at Westfield Topanga shopping center in Canoga Park, California on August 14, 2023.

Christine House | Los Angeles Times | Getty Images

Nordstrom Shares jumped more than 10% Tuesday following a report that the department store chain was trying to go private.

The retailer’s founding family works with Morgan Stanley and investment bank Centerview Partners to determine whether private equity firms are interested in a transaction, Reuters reported, citing people familiar with the matter. Morgan Stanley declined to comment.

A deal may not happen, according to Reuters. A previous effort to take Nordstrom private collapsed in 2018.

Nordstrom has struggled to boost sales in a competitive retail landscape where consumers squeezed by inflation have been watching their spending on clothing and other discretionary goods. Earlier this month, the company gave a gloomy sales outlook for 2024.

Nordstrom said it expects its full-year revenue to range from a 2% decline to a 1% increase from 2023.

Before Tuesday’s action, the company’s shares had fallen about 7% this year.

Nordstrom did not immediately respond to CNBC’s request for comment.

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