By Svea Herbst-Bayliss

BOSTON (Reuters) – Macellum Advisors is an activist hedge fund that wants Kohl’s Corp. (NYSE:) in the United States to sell itself. According to a letter, Reuters reviewed, the group is pressing Kohl’s Corp for at least one seat on its board and a statement saying the company is looking into strategic options.

Macellum, which owns roughly 5% of Kohl’s stock, sent the letter hours after Acacia Research Corp, backed by activist investor Starboard Value, on Monday confirmed https://www.reuters.com/business/retail-consumer/sycamore-partners-approaches-kohls-with-potential-takeover-offer-bloomberg-news-2022-01-23 an offer to buy the company for $64 a share, valuing Kohl’s at roughly $9 billion.

Sycamore Partners has also prepared a $65 per share cash offer for Kohl’s, according to sources.

Kohl’s shares surged 36% https://www.reuters.com/business/retail-consumer/kohls-shares-soar-sycamore-acacia-show-takeover-interest-2022-01-24 on Monday to close at $63.71.

Jonathan Duskin (Macellum managing partner) wrote, “The most risk-adjusted route forward for shareholders now is a credible open process to assess a complete sale of the business at an attractive premium.” Investors expect a well-organized sales process.

According to the letter, he asked Kohl’s for at least one unconditional chair on its board for Macellum representatives and to have this person head a new review committee.

Duskin said, “We don’t have confidence in the existing board to handle this process alone. We also do not believe that the Board can objectively assess possible bids.”

Kohl’s representative declined to answer the Macellum correspondence directly and instead referred to a Monday statement that stated the company won’t make any further public comments on expressions interest, unless the shareholder interests are being served.

According to two people familiar with the matter, Kohl’s is considering its options and may even sell it.

People with information on the subject declined to be identified as they were not allowed to talk about it publicly.

The pressure on Kohl’s has grown since Macellum announced last week that the company would be naming directors to its board. Reuters also reported that Acacia was preparing a bid.

Duskin has been ratcheting up the pressure on his company less than one year after he and other reached an agreement that allowed it to add three directors.

In the letter reviewed and approved by Reuters, he stated that he could take legal action against Kohl’s board or hold another proxy contest if they “chill” a sale.