Arkhouse Management and Brigade Capital Management have increased their bid for Macy’s to $24 per share, or $6.6 billion, after the department store chain rejected their original offer earlier this year.

The revised offer represents an increase of 14.3 per cent from the previous bid and a 33.3 per cent premium to where the company’s shares closed on Friday.

In December, the investor group proposed to buy Macy’s shares they do not own for $21 a piece, equivalent to $5.8 billion. 

However, the firm turned down the offer in January, citing a lack of “compelling value”.

In response to the new proposal, Macy’s board of directors said it will carry out a review and evaluation in consultation with its financial and legal advisors.

“The Macy’s Inc board has a proven track record of evaluating a broad range of options to create shareholder value, is open-minded about the best path to achieve this objective and is committed to continuing to take actions that it believes are in the best interests of the company and all Macy’s Inc shareholders.”

Macy’s posted a net income of $105 million for FY23, with net sales down 5.5 per cent to $23.1 billion. The 166-year-old retailer announced last week its plan to close about 150 locations to return to financial growth.