Federated to explore Fingerhut sale options
March 29, 2002-- Home Textiles Today,
Cincinnati — With negotiations between Federated Department Stores and Business Development Group Acquisitions for the sale of Fingerhut still at an impasse after more than a month, Federated has announced that it will begin to explore other potential transactions and may entertain offers to sell off individual pieces of the division.
In addition, Federated said that 3,300 of the approximately 3,700 Fingerhut employees who previously received termination notices will be terminated by April 5.
Federated had entered into a non-binding letter of intent with BDGA in late February, yet the two sides have yet to sign a definitive agreement for the transaction. However, the both parties plan to continue discussions and negotiations.
Federated announced its intention to sell or shutter its Fingerhut operation in January. Fingerhut includes the catalog subsidiaries Arizona Mail Order, Figi's and Popular Club.