IE 11 is not supported. For an optimal experience visit our site on another browser.

Men's Wearhouse to Buy Jos. A. Bank for $1.8 Billion

<p>The announcement ends a months-long takeover saga and will create a combined chain of more than 1,700 U.S. stores.</p>
Image: Men's Wearhouse Pursues Hostile Takeover Of Jos. A. Bank
Men's Wearhouse agreed to buy Jos. A Bank in a deal valued at $1.8 billion, ending a months-long merger saga.Andrew Burton / Getty Images
/ Source: Reuters

Men's Wearhouse announced Tuesday it has agreed to acquire Jos. A. Bank Clothiers in an all-cash deal the company valued at $1.8 billion, ending a five-month takeover saga that started with Jos. A. Bank offering to buy its larger menswear rival.

Image: Men's Wearhouse Pursues Hostile Takeover Of Jos. A. Bank
Men's Wearhouse agreed to buy Jos. A Bank in a deal valued at $1.8 billion, ending a months-long merger saga.Andrew Burton / Getty Images

The increased offer price of $65 per share represents a premium of 5.1 percent to Jos. A. Bank's Monday closing price.

The combined chain will have more than 1,700 U.S. stores.

"Together, Men's Wearhouse and Jos. A. Bank will have increased scale and breadth, and Jos. A. Bank's strong brand and complementary business model will broaden our customer reach," Doug Ewert, president and CEO of Men's Wearhouse, said in a statement. "We expect the transaction will be accretive to Men's Wearhouse's earnings in the first full year."

-Reuters, CNBC staff