NEW YORK: Tim and Johnny Belk unveil the new Belk logo and store signage at Belk South Park Mall in 2010. The new logo and signage were part of a $70 million rebranding campaign. Belk executives say they don’t expect customers and employees to see big changes from the deal announced to sell the Charlotte-based department store chain to a New York private equity firm for $3 billion.
No store closings or layoffs are planned at the nation’s largest family-controlled department store, and the buyer, Sycamore Partners, supports the company’s brand and merchandise offerings, CEO Tim Belk said in an interview. The headquarters will remain in Charlotte. “The Belk that (customers) love is not going to change,” Belk, who will remain as CEO, told the Observer. “We’re going to continue to build on the foundation we’ve put in place.”
A deal for Belk had been expected since April when the company said it was exploring a possible sale, and Sycamore had emerged as the possible buyer last month. The sale would end local control of the 127-year-old retailer that began in Monroe and grew to become one of Charlotte’s iconic companies.
Analysts said the sale is an attractive deal for the Belk family, which controls more than 70 percent of the company’s stock. But Sycamore is making its first foray into the department store business at a challenging time for the industry. Belk is under pressure to compete with brick-and-mortar stores as well as online retailers.
