10 September 2019 - Deborah Wilkes
Vitamin Shoppe is considering a second takeover proposal in addition to the deal with Liberty Tax announced in August 2019.
The US-based specialty retailer said it had received a second offer during a "go-shop" period. It did not name the bidder.
The offer was "reasonably likely to lead to a superior proposal", added Vitamin Shoppe, which "intends to engage in negotiations with the bidder".
Vitamin Shoppe stressed there could be "no assurance that the acquisition proposal will ultimately result in a superior proposal". "Discussions and negotiations with the bidder could terminate at any time," it added.
The company said its board was still recommending the Liberty Tax offer.
In August 2019, Vitamin Shoppe announced that it was set to be acquired by Liberty Tax – the parent company of Liberty Tax Service and Buddy's Home Furnishings – in an all-cash transaction worth around USD208 million (click here to read the News story).
Recent financial results
The retailer reported sales down by 7.6% to USD271 million in the three months ended 29 June 2019. The company recorded a net loss from continuing operations of USD3.57 million, compared with a net income from continuing operations of USD5.28 million in the same period a year earlier.
Vitamin Shoppe operates more than 750 company-operated retail stores under The Vitamin Shoppe and Super Supplements retail banners in the US and Puerto Rico, as well as the www.vitaminshoppe.com website. It also has a very small international business.
It sells a broad range of vitamins, minerals and supplements (VMS), herbs, sports-nutrition ranges, homeopathic remedies, green living products and beauty aids. In addition to around 700 national brand products, it offers products exclusively under The Vitamin Shoppe, BodyTech, Next Step, plnt, ProBioCare and True Athlete brands.