Hanover Direct, Inc. has appointed a special committee to evaluate a proposal from its largest shareholder to take the company private.
The committee, which is composed of the board of directors’ three independent directors, will review a previously announced proposal from Chelsey Direct, LLC. The committee is currently choosing an independent financial advisor.
In a letter dated Feb. 23, Chelsey made an offer to acquire the 31% of the Weehawken, NJ-based firm’s stock it does not already own for $1.25 per share. On Tuesday, the company’s stock closed at $1.35 per share.
Hanover Direct, Inc. runs a variety of catalogs and e-commerce Web sites, including those for the Domestications, The Company Store, Company Kids, Silhouettes, International Male and Undergear brands.
