Goodman says the Sycamore buy “will enable us to drive greater value for our customers and immense opportunity for our business. The Sycamore Partners team shares Staples' entrepreneurial spirit and long-term vision.”

Barclays and Morgan Stanley are acting as financial advisors to Staples, and Wilmer Hale LLP is acting as legal advisor. For Sycamore, BofA Merrill Lynch and Deutsche Bank Securities are acting as financial advisors and Kirkland & Ellis LLP is acting as legal advisor. UBS Investment Bank, BofA Merrill Lynch, Deutsche Bank, Credit Suisse, Royal Bank of Canada, Jefferies, Wells Fargo and Fifth Third Bank are providing debt financing for the transaction. The deal is expected to close by the end of this year.

FRAMINGHAM, MA—Staples, Inc. said late Wednesday afternoon that funds managed by private equity firm Sycamore Partners would acquire the office supply retailer. The all-cash sale to Sycamore is valued at about $6.9 billion.

Stockholders in Staples will receive $10.25 per common share, a premium of approximately 20% over the 10-day volume weighted average stock price for the company's shares for the period ended April 3, the last trading day prior to media reports that the company was considering a sale. Published reports earlier this week pointed toward a deal with Sycamore; last month the company reportedly turned down a buyout offer from Cerberus Capital Management, which had acquired its European business in December 2016.

The announcement of a deal with Sycamore comes 13 months after the merger of Staples and rival Office Depot collapsed over antitrust concerns. Staples CEO Ron Sargent stepped down after the deal fell through; he was succeeded by a fellow company veteran, Shira Goodman, formerly president of North America operations.

Staples board chairman Robert Sulentic, who is also CEO of CBRE Group, says the agreement with Sycamore follows “a comprehensive process in which our board, with the assistance of a transaction committee comprised of independent directors, and outside financial advisors, explored and considered various alternatives to enhance value for our stockholders. He adds that the board believes that the process led to “a transaction which is in the best interests of our stockholders, as well as Staples and its employees.”

Goodman says the Sycamore buy “will enable us to drive greater value for our customers and immense opportunity for our business. The Sycamore Partners team shares Staples' entrepreneurial spirit and long-term vision.”

Barclays and Morgan Stanley are acting as financial advisors to Staples, and Wilmer Hale LLP is acting as legal advisor. For Sycamore, BofA Merrill Lynch and Deutsche Bank Securities are acting as financial advisors and Kirkland & Ellis LLP is acting as legal advisor. UBS Investment Bank, BofA Merrill Lynch, Deutsche Bank, Credit Suisse, Royal Bank of Canada, Jefferies, Wells Fargo and Fifth Third Bank are providing debt financing for the transaction. The deal is expected to close by the end of this year.