Mexican Giant on the Move! Liverpool Consolidates Merger with Nordstrom After Key Shareholder Vote

The iconic American department store chain Nordstrom has received shareholder approval to merge with Mexican retail giant Liverpool, marking a milestone in the industry and paving the way for its privatization. The transaction is expected to close around May 20, 2025.

The retail world is about to undergo a significant transformation. In a strategic move that redefines boundaries and consolidates markets, Nordstrom, Inc. (NYSE: JWN) shareholders have decisively approved the merger agreement with El Puerto de Liverpool, SAB de CV (BMV: LIVEPOL C-1), the Mexican powerhouse behind the Liverpool and Suburbia department stores. This approval will allow Nordstrom, one of the most iconic chains in the United States, to cease being a public company and operate under a new private structure with its new Mexican partner.

The announcement, which has resonated throughout financial circles on Wall Street and the Mexican Stock Exchange, comes after months of negotiations and speculation. A favorable vote by Nordstrom shareholders was the last major hurdle for the transaction to move forward. According to sources close to the company, the merger is expected to be formally consummated around May 20, 2025, provided all regulatory and closing conditions customary for this type of cross-border transaction are met.

This acquisition represents not only a bold move for Liverpool, but also a paradigm shift for Nordstrom, which has navigated an increasingly competitive and digitalized retail landscape in recent years. Going private would allow Nordstrom greater strategic flexibility, away from the quarterly pressures of the public markets, to undertake profound transformations and long-term plans.

"This merger is a testament to the vision and adaptability of the dynamic retail sector. The union of two giants with such rich legacies promises to redefine the shopping experience in North America." – Senior Retail Analyst

For Liverpool, this transaction is a significant step in its international expansion strategy and consolidation as a major player in the Americas.

• Geographic Expansion: Enter the competitive US market through an established and prestigious brand.
• Income Diversification: Reduces dependence on the Mexican market and accesses a consumer base with high purchasing power.
• Operational Synergies: Potential to optimize supply chains, share omnichannel best practices, and leverage Nordstrom's expertise in the luxury segment and customer service.
• Brand Strengthening: Partnering with Nordstrom raises Liverpool's international profile.

On the other hand, for Nordstrom, the merger and subsequent privatization under the Liverpool umbrella could mean:

• Capital Injection: Access to resources to invest in store modernization, technology, and customer experience.
• Strategic Flexibility: Freedom to make long-term decisions without the pressure of quarterly results.
• Operations Optimization: Possibility of restructuring your business model with the support of an experienced operator like Liverpool.
• Renewed Approach: An opportunity to revitalize the brand and adapt to new consumer trends.

Founded in 1901 in Seattle, Washington, Nordstrom has earned a reputation for exceptional customer service and a curated selection of fashion and luxury products. With stores in the United States and Canada, it has been a leader in the department store sector for decades. However, like many traditional retailers, it has faced challenges with the rise of e-commerce and changing consumer habits.

Liverpool, for its part, has an even longer history, founded in 1847 in Mexico City. It is the largest department store operator in Mexico, with a strong national presence through its Liverpool and Suburbia formats, as well as shopping centers (Galerías) and a robust e-commerce platform. Its knowledge of the Latin American market and financial strength position it as an ideal strategic partner for this new phase of Nordstrom.

With shareholder approval in hand, both companies will now work on the final details for the closing of the transaction, estimated for May 20, 2025. This process will include obtaining the relevant regulatory approvals in both countries and meeting other contractual conditions. Retail industry analysts will closely monitor this merger, as it could set a precedent for future consolidations in the industry. The combination of Nordstrom's heritage and service focus with Liverpool's strategic vision and operational capability has the potential to create a new giant that not only competes but also leads in the challenging but ever-evolving world of retail.

More details about how the merger will be handled and the first steps of the privatized "new" Nordstrom are expected to be revealed in the coming months. What is certain is that the North American department store landscape is about to undergo one of its most significant changes in years.