NEW YORK — Neiman Marcus Inc. has declared a one-time cash dividend of $442.6 million, or $435 per share of its outstanding common stock. The dividend was paid to stockholders at the close of business Wednesday. Neiman’s will use its cash on hand and borrowings from its revolving credit facility to fund the dividend. Neiman’s expects to borrow about $150 million for the dividend.
Neiman Marcus in 2005 was purchased by Texas Pacific Group and Warburg Pincus for over $5 billion. The dividend is an indication that the equity partners are eager to profit off their investment and are believed to be considering an initial public offering for Neiman’s, possibly later this year. A willingness to pay dividends would make Neiman’s more attractive to potential investors.
A Stella McCartney sketch of a custom dress made from protein-based silk in partnership with biotech lab Bolt Threads. The dress will be displayed at The Museum of Modern Art's upcoming design exhibition, "Items: Is Fashion Modern?"