New York, NY, February 25--The Wall Street Journal reported on Friday that the boards of Federated and May are scheduled to meet in the next two days to finalize terms of a possible merger.
The newspaper, citing people familiar with the matter, said the deal, in which Federated would acquire its rival May, could be valued at more than $10 billion.
Federated has a regularly scheduled board meeting on Friday at which the Journal said directors are likely to discuss a formal proposal. May's board would then review the offer over the weekend.
The newspaper said the exact terms of an agreement could not be determined, but people briefed on the matter said an offer for May could be somewhat below $40 a share.
May, whose chief executive resigned last month, has suspended its search for a successor as merger talks with Federated advanced.
The retailers have held merger discussions in recent months as the department store chains sought ways to expand their geographic reach.
