Barneys Sale Complete
Bristol, Pa., Jones Apparel Group Inc. said Friday it completed the sale of its Barneys New York Inc. luxury unit and plans to use some of the proceeds to fund a $400 million stock buyback.
Jones received $945 million in cash from an affiliate of Istithmar PJSC, a Dubai-based private-equity firm that outbid the Japanese conglomerate Fast Retailing. After expenses and taxes, Jones Apparel received $840 million from the sale.
In addition to the stock buyback, Jones said it will use the proceeds to repay short-term borrowings. It acquired Barneys in 2004 for $400 million.