Japanese Firm Submits Bid for Barneys

Jones Apparel Group Inc. said on Tuesday it received an updated $900 million proposal from Japan’s Fast Retailing Co. Ltd. to acquire Barneys New York Inc.

The proposal, which reaffirmed the $900 million bid for Barneys, included a form of stock purchase agreement and is not subject to a due diligence condition. Jones said it is in talks with Fast Retailing regarding its proposal.

Jones said it would be required to pay a fee of $22.7 million if it terminated its existing agreement to sell Barneys to Dubai-owned private equity firm Istithmar for $825 million.

Under the agreement with Istithmar, Jones can explore bids for the company until Aug. 11.

Jones, which owns brands such as Nine West, Gloria Vanderbilt and Jones New York, put itself up for sale last year but failed to find a buyer. It agreed to sell Barneys in June.

Fast Retailing operates Japan’s popular Uniqlo casual clothing chain.