Filing Flows › Caleres (CAL) › Takeover & LBO
Is Caleres (CAL) a takeover target?
A leveraged buyout at today's price plus 30% ($17.54 a share) would return about 18% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $17.54 | today's $13.49 plus 30% |
| × shares | 32.8 million | |
| = Equity value | $576M | |
| + Debt refinanced | $0 | |
| − Cash | $50.9M | |
| + Other claims | $8.3M | preferred stock, minority interests |
| = Enterprise value | $533M | 3.6× EBITDA of $148M |
| Fees | $10.7M | 2% of the price |
| New debt | $346M | 2.3× EBITDA at 7.65% a year; the limit that binds: 65% of the price |
| Buyer's own money | $197M | 36% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $3.1B | $159M | $26.5M | $38.3M | $308M |
| Year 2 | $3.2B | $169M | $23.6M | $47.0M | $261M |
| Year 3 | $3.4B | $178M | $20.0M | $56.1M | $205M |
| Year 4 | $3.6B | $185M | $15.7M | $65.5M | $140M |
| Year 5 | $3.7B | $191M | $10.7M | $75.0M | $64.5M |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 2.7× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $514M | |
| − Debt left | $64.5M | |
| = Buyer's equity | $450M | |
| Money multiple | 2.28× | on $197M put in |
| Buyer's yearly return (IRR) | 17.9% |
Price against return
What the buyer makes at other premiums over today's $13.49.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $14.84 | 26.1% |
| 20% | $16.19 | 21.9% |
| 30% | $17.54 | 17.9% |
| 40% | $18.89 | 14.1% |
| 50% | $20.23 | 10.3% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $2.8B | |
| EBITDA, last 12 months | $148M | 5.2% of revenue |
| Depreciation and amortization | $61.4M | |
| Capital spending | $50.0M | |
| Debt | $0 | |
| Cash | $50.9M | |
| Share price | $13.49 | on Oct 30, 2026 |
Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 7.3% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 30% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.
What a takeover could cost
Takeovers on record paid a median premium of 32.5% over the share price before the deal (the middle half 20% to 51.8%), according to the 1,437 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Caleres would cost about $17.87 a share, $587M for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 20% | $16.19 | $531M |
| Median | 32.5% | $17.87 | $587M |
| High end (a quarter paid more) | 51.8% | $20.48 | $672M |
Caleres' latest quarter
Caleres, Q2 FY27: revenue $695M (+6% year over year), operating margin 11.2%, net earnings $58.6M, operating cash flow $83.6M. The chart follows the revenue to costs, profit and cash.
Questions
Is Caleres being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Caleres?
A leveraged buyout at today's price plus 30% ($17.54 a share) would return about 18% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of Caleres cost?
Takeovers on record paid a median premium of 32.5% over the share price before the deal (the middle half 20% to 51.8%), according to the 1,437 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Caleres would cost about $17.87 a share, $587M for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.