Destination Maternity: Mothercare nixes proposals

Posted at 8:22 AM, Jul 02, 2014
and last updated 2014-09-12 10:54:20-04

PHILADELPHIA (AP) — Destination Maternity says the U.K.'s Mothercare has rejected two proposals to combine the businesses.

Destination Maternity is known for its maternity clothing under brands such as A Pea in the Pod, Motherhood Maternity and its namesake. Mothercare offers baby and young children's clothing and other products such as strollers, car seats and toys.

Destination Maternity's most recent cash-and-stock proposal for about 266 million pounds (about $456.6 million) was submitted on June 1. Destination Maternity said that Mothercare has refused to discuss the proposals and that it continues to evaluate its options on a potential combination.

Under the U.K.'s Takeover Code, Destination Maternity must announce its decision on whether it plans to make a binding offer for Mothercare by July 30.

Mothercare did not immediately respond to a request for comment.