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Bloomberg Published December 9, 2024 Reading time
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Macy’s new activist wants retailer to create real estate arm

By
Bloomberg Published
December 9, 2024

Another activist investor is urging Macy’s Inc. to take drastic steps to boost its stock price. Barington Capital Group is calling on Macy’s to cut its capital expenditures, form a separate real estate group and consider strategic alternatives for the Bloomingdale’s and Bluemercury chains in order to drive share gains, according to a presentation that was published on its website.

While Barington sees “early promise” in the chain’s plan to shut underperforming stores, the activist investors want additional cost reductions “for a healthier store base that can begin to deliver consistent revenue growth and profit improvements,” the group, which includes Thor Equities LLC, wrote in a statement.

Through Friday, Macy’s shares had fallen nearly 15% since the department store retailer announced its turnaround plan in February. The stock climbed 3.9% on Monday.