Good Evening! On Monday, U.S. stocks ended the trading day after a somewhat uncertain beginning, as investors eagerly await for the inflation report to come out this week.
The S&P 500 ended the day up by 0.39%, while the Dow Jones increased by 0.43%. The Nasdaq had a rough start but ended in the green by 0.20%.
$5.8 BILLION DEAL
According to a dependable source who spoke to Yahoo Finance, real estate investor Arkhouse Management and asset manager Brigade Capital Management have presented Macy’s (M) with a $5.8 billion acquisition proposal. The bid, which assesses Macy’s at around $21 per share, was allegedly presented on December 1st. The company’s board is currently considering the offer.
But how much is Macy’s worth? Well, in 2022, investment bank Cowen estimated the value of Macy’s real estate assets to be between $6 billion and $8 billion. Macy’s has a very valuable collection of properties, prominently including its renowned Herald Square establishment situated in New York City. However, the valuation of the showpiece real estate asset has fluctuated between $3 billion and $4 billion, according to assessments made by several money managers over the previous decade.
In the meantime, what does Macy have to look forward to? Macy’s is now in the midst of the Christmas shopping season, and the results will be released in the latter part of February. On top of that, by February 2024, Tony Spring, a longstanding executive at Macy’s, would assume the position of CEO, succeeding the retiring Jeff Gennette.
BIGGEST DEAL TO DATE!
Shohei Ohtani, a highly accomplished baseball player from Japan who has excelled in Major League Baseball (MLB) and has been named Most Valuable Player (MVP) twice, will be paid a sum of $700 million over the next decade by the Los Angeles Dodgers. If you didn’t know, this deal is the most substantial ever seen in the realm of North American sports.
So, is it worth the investment? Ohtani impresses on the field with his exceptional skills in both pitching and hitting, which have led to parallels with Babe Ruth. However, his immense popularity in his home country of Japan adds a level of appeal to the Dodgers’ investment.
The economic impact! According to research by Professor Katsuhiro Miyamoto of Kansai University, Ohtani’s transfer to the Dodgers is projected to have an economic effect of around $444 million next year. On top of that, Japanese tourists who traveled to the U.S. to see Ohtani spent almost $8 million last year. Similarly, Japanese companies allocated a similar amount of money to promote Angel Stadium, Ohtani’s former home for six seasons.