La-Z-Boy to sell subsidiary
La-Z-Boy Inc. (NYSE: LZB), a furniture maker and retailer, announced before the opening bell that it reached an agreement to sell its subsidiary Clayton Marcus to Rowe Fine Furniture, Inc. The terms of the agreement were not disclosed.
Hickory, N.C.-based Clayton Marcus is a manufacturer of medium-priced casual furniture. Its products are distributed through independently owned retailers.
"While Clayton Marcus enjoys an excellent reputation in the market, the company does not fit with La-Z-Boy's overall long-term strategy,” La-Z-Boy’s CEO Kurt Darrow said in a statement. “We are confident that Rowe will be a synergistic owner for Clayton Marcus and that its customers will continue to be well serviced."
La-Z-Boy shares are flat in pre-market trading at $9.68.
