Nordstrom to be acquired by Nordstrom family and a Mexican retail group [Video]

WASHINGTON — Century-old department store Nordstrom has agreed to be acquired and taken private by Nordstrom family members and a Mexican retail group in a $6.25 billion deal with the industry being squeezed by discount chains and other competition.

Public companies are under a lot more scrutiny and if private, the Nordstrom may have more leeway in reviving a department store chain that has been attempting to reinvigorate sales for years.

Nordstrom shareholders will receive $24.25 in cash for each share of Nordstrom common stock, or about $4 billion in all, representing a 42% premium on the company’s stock as of March 18, when reports of a potential transaction was reported by the media.

The acquiring group will also pick up more than $2 billion in Nordstrom debt.

The traditional department stores have suffered in the face of withering competition from …