JoS. A Bank bids $2.4 billion for Men's Wearhouse

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JoS. A. Bank Clothiers disclosed an unsolicited $2.4 billion bid for Men's Wearhouse early Wednesday, seeks to buy its larger men's apparel rival that was rocked by the firing of its founder and chief spokesman earlier this year.

JoS. A Bank said it will pay $48 a share for Men's Wearhouse , which is a 36% premium over Tuesday's close and 17% above its 52-week high. It said it made its offer to Men's Wearhouse, which is more than twice its size, on Sept. 17.

JoS. A. Bank said it will pay for the bid through a combination of cash on hand, debt financing and a $250 million equity investment from Golden Gate Capital, a private equity firm.

Men's Wearhouse stock shot up 33% in premarket trading while JoS. A Bank shares gained nearly 5%.

Shares of Men's Wearhouse fell 6% in June in the days after the company fired George Zimmer as its executive chairman. Zimmer, who is still the largest individual investor with a 3.7% stake, responded that the company's board was ignoring his ' growing concerns' about the direction of the company.

The company fired back, depicting Zimmer as a power-hungry egomaniac who wanted to sell the company to private investors even though the board believed that would hurt shareholders.

Zimmer, who founded the company in 1973, had also been the company's sole pitchman, with commercials featuring him promising 'You're going to like the way you look, I guarantee it.' His firing prompted some initial customer backlash on Facebook.

But investors proved more forgiving, taking shares higher in July and August before a disappointing sales and earnings report last month sent shares tumbling once again. The JoS. A Bank bid came a week after that earnings report.

Men's Wearhouse representatives were not immediately available to respond to the JoS. A Bank bid.