January 11, 20205 yr Columbus 2020's biggest accomplishment – and how to repeat it, according to CEO Kenny McDonald Columbus 2020 hit its targets for growth of jobs, private investment and per capita income in its first decade, but CEO Kenny McDonald doesn't think those were its most important accomplishment. The economic development organization was formed in 2010 in the aftermath of the recession to attract and retain job-creating businesses for the 11-county region. "We weren't the only community saying we've got to do something," McDonald said. But Central Ohio kept beating that drum. Also, what started as a loose confederation of local governments is truly acting as a unified region. Renamed One Columbus as it faces the next 10 years and beyond, it will continue to make progress only if it keeps a long-term strategy instead of getting distracted by quarterly or annual statistics, he said. "As soon as you start thinking long term, you make greater strides in the short term," McDonald said. "When you're stuck in the everyday and you're just trying to put out flames, you get nowhere." As One Columbus, the organization has revamped its monitoring of progress and set new concrete goals for jobs and investment, but added a new emphasis on true prosperity that's shared more equally. "We want to talk about growth and prosperity in the same breath," McDonald said. "It isn't growth for growth's sake anymore – which was perfectly rational in 2010." That means emphasizing the economic development effects of affordable housing, income inequality, smart mobility and environmental sustainability. MORE: https://www.bizjournals.com/columbus/news/2019/09/04/columbus-2020s-biggest-accomplishment-and-how-to.html
January 13, 20205 yr Two Japanese auto suppliers expanding in Central Ohio: https://www.bizjournals.com/columbus/news/2019/09/09/auto-parts-maker-investing-10-7m-in-grove-city.html -- Tigerpoly Manufacturing is investing $10.7 million and expects to add 40 new jobs at its Central Ohio facility. The Osaka, Japan-based manufacturer makes rubber and plastic parts for the automotive industry. The company already employs 395 people in the area and plans to add 105,000 square feet to its nearly 200,000 square feet of operations at 6231 Enterprise Pkwy. in Grove City. https://www.dispatch.com/business/20190911/jefferson-industries-to-add-150-jobs-as-part-of-west-jefferson-expansion -- Jefferson Industries will create 150 jobs and invest $10.8 million as part of its plan to expand its West Jefferson operations. The company’s West Jefferson facility has been in operation for 30 years and has more than 600 employees. Jefferson Industries will expand its existing building by 77,000 square feet, bringing its total size to nearly 1.2 million square feet. The company is a global manufacturer of automotive body frames.
January 15, 20205 yr A few months ago I made fun off Motorists Insurance rebranding itself as Encova. But after seeing the new market valuation for Columbus-based insurance tech startup Root Insurance, I can see why they rebranded. In today's market, being a "tech company that sells insurance" more valuable than just being an insurance company. Supersized unicorn: Root Insurance leaps to $3.65B valuation with $350M round Root Insurance is now valued at $3.65 billion after a $350 million funding round – the largest single venture capital round ever in the state. The fast-growing Columbus startup was previously the first "unicorn" – a company valued at more than $1 billion – among more than 2,000 insurance technology startups, according to a report from Deloitte. The Wall Street Journal, citing sources close to the deal, recently reported a new funding round has shot the auto insurer's value up to $3.65 billion. That's more than twice the market capitalization of Columbus-based State Auto Insurance. Meanwhile, less than five years after its founding, parent company Root Inc. is closing in on the ranks of the 100 largest employers in Central Ohio, with more than 700 local employees in Columbus, split between its downtown headquarters and an Easton support office. That's almost as big as Grange Insurance, and a significant jump from the 140 employees the company had at this time last year. MORE: https://www.bizjournals.com/columbus/news/2019/09/09/supersized-unicorn-root-insurance-leaps-to-3-65b.html
January 15, 20205 yr Some more about Root Insurance: How Columbus-based Root Inc. is disrupting the $250 billion auto insurance industry with its all-digital, data-driven approach -- https://www.bizjournals.com/columbus/news/2019/09/05/root-shoots-up-how-this-fast-growing-startup-is.html A look at Root's new headquarters inside the recently completed 80 on the Commons -- https://www.bizjournals.com/columbus/news/2019/09/05/slideshow-root-insurances-basks-in-bold-colors.html
January 15, 20205 yr And still more about Root. It joins other local startup companies CoverMyMeds and Beam Dental in a documentary on Columbus startups called 'Test City, USA'. CoverMyMeds founding CEO Matt Scantland, Beam Dental CEO Alex Frommeyer and Drive Capital co-founder Mark Kvamme join Root co-founders Alex Timm and Dan Manges in featured interviews: https://www.bizjournals.com/columbus/news/2019/09/11/test-city-usa-root-covermymeds-beam-dental.html
January 24, 20205 yr On 1/15/2020 at 1:54 PM, Columbo said: A few months ago I made fun off Motorists Insurance rebranding itself as Encova. But after seeing the new market valuation for Columbus-based insurance tech startup Root Insurance, I can see why they rebranded. In today's market, being a "tech company that sells insurance" more valuable than just being than just being an insurance company. Money is on Root selling in under 5 years. The technology is great. Unfortunately, it's not transferring to a profitable model for them. They've not turned a profit, as they grow, they reduce soft benefits, some markets have seen more than doubling of rates making them more expensive than standard insurance companies. The selling point of only being charged fair rates because of your usage and not insuring anyone with any sort of adverse risk is only getting them so far. The laws of insurance are winning out. In 2017 they met loss 15.6 million. In 2019 they met loss 58.6 million. The 2019 numbers are not out yet publicly. Meanwhile, major competitors are buying up and investing in the same technology and when one can get the same type of rate and claims service through a well known brand like geico at a lower rate, the selling point of Root becomes less attractive. State Farm, Geico, Progressive, and even Nationwide will all offer the same product for less within a few short years. They will continue to be wildly successful and expand and rake in fundraising dollars but I see them going the way of Cover My Meds and being absorbed by a larger brand before long. Chances are, it would be a brand that doesn't have the ability to build the tech from the ground up that major companies have. Perhaps a Motorists or Encova etc. The question will be whether they maintain an aspect of autonomy like Cover My Meds or be fully absorbed in an acquisition. But after all, that is the nature of startups, mergers, and acquisitions.
January 24, 20205 yr Wasn't sure where to put this, but it talks about growth in employers, so I'll put it here. Construction Dive's 'mini megacities' to watch: Columbus, Ohio When it comes to construction, Columbus, Ohio, is hot and getting hotter. For nearly a decade, the capital of the Buckeye State has enjoyed an influx of employers and residents that culminated in a year of construction like none other in the city’s history. Construction starts in the metropolitan area were estimated at $6 billion in 2019 — 18% more than the year before — and industry watchers say they could go even higher for 2020. The jobs driving this growth come from a range of well-known public and private sources: Ohio State University, Google, Facebook and corporate headquarters for companies like Victoria's Secret, Cardinal Health and Nationwide Insurance. ... More here: https://www.constructiondive.com/news/construction-dives-mini-megacities-to-watch-columbus-ohio/570792/ Edited January 24, 20205 yr by TH3BUDDHA
January 29, 20205 yr Columbus one of two choices for $5B cloud tech company headquarters Swiss-based Veeam Software Corp. has narrowed its choice for a new headquarters to its two largest U.S. offices in Columbus and suburban Atlanta, its CEO said. Each office has more than 300 employees, making up about half Veeam's U.S. workforce. CEO Bill Largent is in Columbus and CFO Chuck Garner is in Alpharetta. Both regions offer a wealth of college graduates for recruiting, Largent said. ... Insight Partners, a New York City venture capital and private equity firm that specializes in software, announced this month it's acquiring Veeam for $5 billion and moving headquarters away from Baar, Switzerland. More here: https://www.bizjournals.com/columbus/news/2020/01/29/exclusive-columbus-one-of-two-choices-for-5b-cloud.html?iana=hpmvp_colum_news_headline Edited January 29, 20205 yr by TH3BUDDHA
January 29, 20205 yr https://www.dispatch.com/business/20200129/wexner-may-depart-as-l-brands-ceo-sell-victoriarsquos-secret This could send shock waves through the Columbus business community. It looks like Victoria's Secret will be sold off. Hopefully, whoever ends up purchasing the company keeps the headquarters in Columbus - similar to when Golden Gate Capital took a controlling stake in Express a few years ago. As Wexner departs his empire, it will be critical that whoever takes the reins as a vested interest in Central Ohio. They could easily take the company to more fashion-forward cities such as NYC and LA pretty easily.
January 29, 20205 yr ^ A bit more about this from Business First. A link to the Wall Street Journal report that broke this news is at the article link below: Wexner in discussions to step away from L Brands, possibly sell Victoria's Secret, according to report L Brands Inc. CEO Les Wexner is in discussions to step aside from his retail empire and is exploring options for Victoria's Secret, the Wall Street Journal is reporting this morning. The newspaper, which cites "people familiar with the matter," said discussions are ongoing and could result in a full or partial sale of Victoria’s Secret. ( . . . ) L Brands reported net sales of $3.906 billion for the nine weeks ending Jan. 4, compared with $4.072 billion during the same stretch in the 2018 holiday season. Comparable sales at Victoria's Secret dropped 12%, while Bath & Body Works rose 9%, leading to an overall 3% increase in sales at stores open at least a year. For the full year, Victoria's Secret same-store sales were down 8% while Bath & Body Works went up 9%, translating to an overall 2% decrease in same-store sales for the year. L Brands' overall sales were down to $12.113 billion compared with $12.457 billion the previous year. Wexner is 82 years old and has run the business for nearly 60 years. He could continue in his role as chairman, one of the people told the Wall Street Journal. MORE: https://www.bizjournals.com/columbus/news/2020/01/29/wexner-in-discussions-to-step-away-from-l-brands.html
January 31, 20205 yr On 1/29/2020 at 10:30 AM, TH3BUDDHA said: Columbus one of two choices for $5B cloud tech company headquarters Swiss-based Veeam Software Corp. has narrowed its choice for a new headquarters to its two largest U.S. offices in Columbus and suburban Atlanta, its CEO said. Each office has more than 300 employees, making up about half Veeam's U.S. workforce. CEO Bill Largent is in Columbus and CFO Chuck Garner is in Alpharetta. Both regions offer a wealth of college graduates for recruiting, Largent said. ... Insight Partners, a New York City venture capital and private equity firm that specializes in software, announced this month it's acquiring Veeam for $5 billion and moving headquarters away from Baar, Switzerland. More here: https://www.bizjournals.com/columbus/news/2020/01/29/exclusive-columbus-one-of-two-choices-for-5b-cloud.html?iana=hpmvp_colum_news_headline ^ This would be another great tech company get for Columbus. A bit like Klarna - who located their U.S. HQ in the Short North - but possibly with more employees. Business First had another story about Veeam looking at Columbus for a new HQ earlier this month behind a paywall. It sounds like there are a number of ties to Columbus that could help us land them: Until now Veeam's U.S. head office has been at 8800 Lyra Drive in the Polaris area. William Largent, resuming his former post as CEO, is a graduate of Franklin University and Northland High School, and owns a house in Delaware County. Veeam co-founders Ratmir Timashev and Andrei Baronov have Central Ohio ties too. Timashev is an Ohio State University graduate and Baronov founded Aelita Software in Dublin (which Insight also invested in). They both left about a year after Quest Software acquired Aelita in 2004, founding Veeam in 2006. https://www.bizjournals.com/columbus/news/2020/01/10/could-columbus-land-a-5b-tech-company-a-swiss.html
January 31, 20205 yr I read somewhere that the biggest clue for where a company will locate is where the CEO lives...
February 3, 20205 yr On 1/29/2020 at 5:31 PM, Columbo said: ^ A bit more about this from Business First. A link to the Wall Street Journal report that broke this news is at the article link below: Wexner in discussions to step away from L Brands, possibly sell Victoria's Secret, according to report L Brands Inc. CEO Les Wexner is in discussions to step aside from his retail empire and is exploring options for Victoria's Secret, the Wall Street Journal is reporting this morning. The newspaper, which cites "people familiar with the matter," said discussions are ongoing and could result in a full or partial sale of Victoria’s Secret. ( . . . ) L Brands reported net sales of $3.906 billion for the nine weeks ending Jan. 4, compared with $4.072 billion during the same stretch in the 2018 holiday season. Comparable sales at Victoria's Secret dropped 12%, while Bath & Body Works rose 9%, leading to an overall 3% increase in sales at stores open at least a year. For the full year, Victoria's Secret same-store sales were down 8% while Bath & Body Works went up 9%, translating to an overall 2% decrease in same-store sales for the year. L Brands' overall sales were down to $12.113 billion compared with $12.457 billion the previous year. Wexner is 82 years old and has run the business for nearly 60 years. He could continue in his role as chairman, one of the people told the Wall Street Journal. MORE: https://www.bizjournals.com/columbus/news/2020/01/29/wexner-in-discussions-to-step-away-from-l-brands.html This is a huge thing, and could be bad for Columbus. I'm sure if any of you know anyone that works there, you've heard this is happening pretty fast.
February 5, 20205 yr Good news for Capitol Square. Along with Nancy's move, it should help activate Lynn Alley even more: https://www.bizjournals.com/columbus/news/2020/02/05/gahannacreative-agency-moving-to-downtown-columbus.html
February 5, 20205 yr Hopefully the news of Macy's closing their Cincinnati headquarters isn't a harbinger of things to come with L Brands and Victoria's Secret: https://www.bizjournals.com/columbus/news/2020/02/04/macys-closing-cincinnati-headquarters.html
February 5, 20205 yr 4 minutes ago, CMHOhio said: Hopefully the news of Macy's closing their Cincinnati headquarters isn't a harbinger of things to come with L Brands and Victoria's Secret: https://www.bizjournals.com/columbus/news/2020/02/04/macys-closing-cincinnati-headquarters.html Time will tell, but I definitely see VS getting sold off, it's under performing and it's reputation/image has become a liability and hassle in today's PC business, #metoo, etc.......climate. As for L Brands, I don't see this going anywhere, it's staying. I think the coming year(s) will be a time of transformation for the whole company though with Wexner bowing out. I mean, it's not like this is all that ground breaking, he's the oldest CEO of a fortune 500 company, this was inevitable, so there's going to be adjustments and re-alignments with new leadership. I'd like to see him focus more on his philanthropy/legacy projects in his "retirement" and final years, even more so than he already has done. He's got the money to get things done, and a love for Columbus/central Ohio like no other. I mean he is the richest guy in Ohio haha
February 5, 20205 yr The Cincinnati office was a constant reminder that Lazarus bought them instead of vice versa.
February 6, 20205 yr 22 hours ago, cbussoccer said: Wow....that sucks for Cincinnati. Fortunately most of the jobs will be moving to a corporate office in a suburb of Cincy instead of being terminated or lost to NYC. The Mason call center will also be adding hundreds of new jobs due to the Tempe Arizona location closing. I think the biggest blow is losing a Fortune 500 headquarter status even though it really hasn’t been the true headquarters for a number of years due to all of the higher ups being located outside of Cincy.
February 6, 20205 yr 6 minutes ago, Ucgrad2015 said: Fortunately most of the jobs will be moving to a corporate office in a suburb of Cincy instead of being terminated or lost to NYC. The Mason call center will also be adding hundreds of new jobs due to the Tempe Arizona location closing. I think the biggest blow is losing a Fortune 500 headquarter status even though it really hasn’t been the true headquarters for a number of years due to all of the higher ups being located outside of Cincy. Is there a source for the number of corporate jobs being cut vs. corporate jobs moving to NYC vs. corporate jobs moving to the suburbs? I haven't seen any specifics in the few articles I've read. All I've seen is that they are closing the downtown HQ which housed over 500 employees. While adding call center jobs is certainly not a bad thing, I would never want to trade corporate jobs for call center jobs. That's a big loss. Losing that Fortune 500 HQ status is definitely a big blow from a city branding perspective, especially when the company is as recognizable as Macy's. It's certainly been a while since Cincinnati was the true HQ of the company, but that fact was always swept under the rug when Cincinnati was claiming it as their own, and I don't blame them. Anytime a company cuts 2,000 workers 100 stores, it doesn't bode well for their future. Department stores have been struggling for a while now and Macy's is certainly fighting an uphill battle. Hopefully, for the good of their employees, they can figure it out. I also hope that very few of the 500 HQ employees in Cincinnati actually end up losing their job. Losing your job sucks and I would never wish that upon anyone.
February 6, 20205 yr https://www.bizjournals.com/cincinnati/news/2020/02/05/heres-how-macys-cincinnati-workforce-will-be.html?iana=hpmvp_cinci_news_headline Article states that 480 currently work at their Springdale corporate office. After the move a total of 950 will be working there. So a loss of around 30 jobs.
February 11, 20205 yr Columbus' newest public company makes its stock market debut Central Ohio added its 28th publicly traded company Monday as Vertiv Holdings Co. debuted on the New York Stock Exchange. Shares of the data center and IT infrastructure spinout from Emerson Electric Co. were trading around $13 by midday under the ticker VRT, according to a stock profile. Columbus-based Vertiv went public by merging into GS Acquisition Holdings Corp., a holding company created by an affiliate of Goldman Sachs Group Inc. and David Cote, former CEO and executive chairman of Honeywell. Cote becomes executive chairman. Vertiv sells IT infrastructure offerings for data centers, communication networks and other large-scale IT facilities. Acquisitions last year added power distribution units and evaporative cooling systems for the racks of servers in data centers. Customers include AT&T, Amazon Web Services, IBM and Verizon. MORE: https://www.bizjournals.com/columbus/news/2020/02/10/columbus-newest-public-company-makes-its-stock.html
February 11, 20205 yr Amazon opens its latest Central Ohio fulfillment center Amazon.com Inc. is up and running at its latest fulfillment center in Central Ohio. The e-commerce giant officially opened its West Jefferson fulfillment center, dubbed CMH4, on Feb. 9. The center will be one of the largest employers in Madison County, promising 1,500 picking jobs, and already has hired several hundred workers. It's located at 1550 W. Main Street in the Park 70 at West Jefferson development. Duke Realty developed the 855,000-square-foot building which Stag Industrial bought for $95.5 million, or $112 per square foot, last June. That deal was one of the largest commercial real estate transactions in the market in 2019. Amazon's two main sorting centers in the area are in Etna and Obetz, and they combine for 4,500 jobs, well above the company's initial commitment of 2,000 in Central Ohio. Amazon invested $200 million to open them. The company also operates a third, smaller warehouse center in the region. ... Those are in addition to data centers built in Central Ohio by its technology affiliate, Amazon Web Services. MORE: https://www.bizjournals.com/columbus/news/2020/02/11/amazon-opens-its-latestcentral-ohio-fulfillment.html
February 12, 20205 yr 3 hours ago, Columbo said: Columbus' newest public company makes its stock market debut Central Ohio added its 28th publicly traded company Monday as Vertiv Holdings Co. debuted on the New York Stock Exchange. Shares of the data center and IT infrastructure spinout from Emerson Electric Co. were trading around $13 by midday under the ticker VRT, according to a stock profile. Columbus-based Vertiv went public by merging into GS Acquisition Holdings Corp., a holding company created by an affiliate of Goldman Sachs Group Inc. and David Cote, former CEO and executive chairman of Honeywell. Cote becomes executive chairman. Vertiv sells IT infrastructure offerings for data centers, communication networks and other large-scale IT facilities. Acquisitions last year added power distribution units and evaporative cooling systems for the racks of servers in data centers. Customers include AT&T, Amazon Web Services, IBM and Verizon. MORE: https://www.bizjournals.com/columbus/news/2020/02/10/columbus-newest-public-company-makes-its-stock.html More about Vertiv from Business First - unfortunately this one is only fully readable for subscribers. But here's a brief synopsis: Data center construction boom has this Columbus IT supplier 'jazzed' as it goes public Central Ohio's newest publicly traded company actually has been here more than five decades, but the rapid pace of data center construction in the region and globally has it "jazzed" about its future. Vertiv Holdings Co., based in far north Columbus, started trading Monday on the New York Stock Exchange. Founded as Liebert Corp. in 1965, the IT infrastructure supplier traded publicly for six years until St. Louis-based Emerson Electric Co. acquired it in 1987, spinning it back out four years ago. The company's roots were the equipment that protects computers from heat and power surges. Today it makes a wide range of cooling and other IT infrastructure offerings for data centers, communication networks and other large computing facilities. ... Amazon, Google, Facebook, local Fortune 500 companies and a number of independent cloud computing providers are spending billions building data centers in the Central Ohio region, largely clustered along the northern outerbelt, especially New Albany. Besides its headquarters at 1050 Dearborn Drive off the northern rim of I-270, Vertiv has manufacturing and distribution facilities in Delaware and southern Ohio's Ironton, plus a Westerville sales and service office. About 1,260 of more than 19,000 employees worldwide are in Central Ohio. MORE: https://www.bizjournals.com/columbus/news/2020/02/11/data-center-construction-boom-has-thiscolumbus-it.html
February 12, 20205 yr And speaking of Central Ohio's data center construction boom... Facebook announces fourth, fifth buildings at New Albany data farm Facebook Inc. announced it will build its fourth and fifth data centers in New Albany, bringing total investment to more than $1 billion, as digital traffic started flowing through the first one. The full campus would create about 150 jobs, between technical, engineering, administrative and vendor positions. And each building at peak construction has some 1,200 workers on site, for a total of $78 million in wages, the company said. New Albany has landed a trifecta of Silicon Valley data farms over the past 2 1/2 years: Facebook, Amazon Web Services and Google Inc. – all in various stages of construction and possible expansion. New Albany's IT cluster in its business park has attracted nearly $4 billion in private investment, including data centers for AEP Ohio, Nationwide and Discover Financial. The first two buildings – each 450,000 square feet – are connected by 75,000 square feet of administrative offices in an "H" shape. A third is under construction. When the fourth and fifth are complete, the buildings will total 2.5 million square feet. MORE: https://www.bizjournals.com/columbus/news/2020/02/07/facebook-announces-fourth-fifth-buildings-at-new.html
February 20, 20205 yr Victoria's Secret is being sold off to Sycamore Partners, a New York City-based private equity firm: https://www.dispatch.com/business/20200220/l-brands-to-sell-victoriarsquos-secret-to-private-equity-firm Overall, not unexpected and likely not the worst thing to happen given the circumstances. Both companies have already done business together with Wexner's first retail venture, The Limited. L Brands will maintain a minority ownership in the company (45%).
February 20, 20205 yr 3 hours ago, CMHOhio said: Victoria's Secret is being sold off to Sycamore Partners, a New York City-based private equity firm: https://www.dispatch.com/business/20200220/l-brands-to-sell-victoriarsquos-secret-to-private-equity-firm Overall, not unexpected and likely not the worst thing to happen given the circumstances. Both companies have already done business together with Wexner's first retail venture, The Limited. L Brands will maintain a minority ownership in the company (45%). More about the buyer of Victoria's Secret from Business First: Who is Sycamore Partners? Meet the buyer of Victoria's Secret Victoria's Secret's future owner has a track record of turning around struggling companies and a history of interest in Central Ohio's retail scene. Manhattan-based Sycamore Partners LLC is a private equity firm with $10 billion in assets under management and a history of investing in consumer and retail brands, among them Belk, Coldwater Creek, Hot Topic, Staples, Talbots and Torrid. Sycamore will pay $525 million for a 55% stake in Victoria's Secret. The chain has a "total enterprise value" of $1.1 billion, the companies said. Wexner is also stepping down from the CEO role at L Brands alongside the sale. Sycamore Partners is familiar with the Columbus retail industry, and L Brands specifically. It acquired the intellectual property of Limited Stores LLC for a reported $25.75 million after the former Columbus-based L Brands spinout declared bankruptcy at the start of 2017. The firm also courted another L Brands spinout, Express Inc., from 2014 to 2015. Sycamore went so far as to grow its stake in the company to 9.9% before ending its purchase plan. MORE: https://www.bizjournals.com/columbus/news/2020/02/20/who-is-sycamore-partners-meet-the-buyer-of.html
February 20, 20205 yr ^ Just as big of a headline as the Victoria's Secret brand being sold is the news that Les Wexner - 82-year-old company founder of L Brands - will be stepping down as CEO and chairman of the company. Below is are exact details from the Business First article at the link: "Wexner will be stepping down from his role as CEO and chairman of the company and will take on a much more passive role as chairman emeritus. In his place, Bath & Body Works COO Andrew Meslow has been promoted to CEO of Bath & Body Works and will become CEO of L Brands once the Victoria's Secret deal closes." https://www.bizjournals.com/columbus/news/2020/02/20/les-wexner-now-is-the-right-time-to-pass-the-reins.html
February 20, 20205 yr 9 minutes ago, Columbo said: ^ Just as big of a headline as the Victoria's Secret brand being sold is the news that Les Wexner - 82-year-old company founder of L Brands - will be stepping down as CEO and chairman of the company. Below is are exact details from the Business First article at the link: "Wexner will be stepping down from his role as CEO and chairman of the company and will take on a much more passive role as chairman emeritus. In his place, Bath & Body Works COO Andrew Meslow has been promoted to CEO of Bath & Body Works and will become CEO of L Brands once the Victoria's Secret deal closes." https://www.bizjournals.com/columbus/news/2020/02/20/les-wexner-now-is-the-right-time-to-pass-the-reins.html Indeed. It appears Mr. Meslow has been with the company for quite some time and currently resides in New Albany. Wexner staying as Chairman Emeritus can also be taken as a good sign of their continuing commitment to the region.
February 20, 20205 yr ^^ That previous Business First article I posted was more about the farewell e-mail Wexner sent to all L Brands employees. Below is the main Business First article about the Victoria's Secret sale and Wexner stepping down from the L Brands CEO position: Les Wexner stepping down from L Brands, selling majority stake in Victoria's Secret https://www.bizjournals.com/columbus/news/2020/02/20/les-wexner-stepping-down-from-l-brands-selling.html
February 20, 20205 yr In other Central Ohio business news: https://www.bizjournals.com/columbus/news/2020/02/20/verizon-hilliard-layoffs-to-impact-nearly500.html Ouch. I remember when the complex was built as a single Compuserve building, then later MCI, then MCI WorldCom. I wonder how much of the complex they'll keep after the downsize.
February 26, 20205 yr While the office linking the two companies will be based in New Jersey, this is good news for growing Central Ohio's international business presence: https://www.bizjournals.com/columbus/news/2020/02/26/nationwide-strikes-deal-to-go-international.html Edited February 26, 20205 yr by CMHOhio Forgot link
March 12, 20205 yr Anchor Hocking parent company moving out of downtown Columbus The Oneida Group is on the move again. The Anchor Hocking parent company, which markets tabletop and food preparation products, is moving its headquarters to 13,000 square feet of space in the 1600 Dublin Road building - located about two miles northwest of downtown. The company has been based at 200 Civic Center Drive in Downtown Columbus since 2017, making this its second move in three years. It was previously headquartered in Lancaster. The Oneida Group is one of the largest employers in Central Ohio with 665 employees across the region, according to Columbus Business First research. Thirty-six corporate employees are making the move into the new office space. With this lease, the 211,143-square-foot office complex at 1600 Dublin has landed three headquarters in four months. TeamDynamix Solutions LLC, which makes subscription project-management software for universities, recently moved its headquarters to 10,000 square feet of space there and Zipline Logistics will move to 16,000 square feet in that building in December. MORE: https://www.bizjournals.com/columbus/news/2020/03/10/anchor-hocking-parent-company-moving-out-of.html
March 13, 20205 yr L Brands names Cleveland woman to replace Wexner as chairman L Brands, the owner of Victoria’s Secret, has picked a woman to lead its board as the company seeks to move past allegations of misconduct and a misogynistic culture. Sarah Nash, currently the CEO and chairwoman of Cleveland-based Novagard Solutions, will take over for founder Leslie H. Wexner, the retailer said Thursday. Wexner announced he was giving up the seat last month after New York private equity firm Sycamore Partners bought a 55% stake in the lingerie company from L Brands for $525 million. Nash joined the Columbus-based retailer’s board in 2019, the same year the company was hit by scandals and a deepening sales slump that has taken a bite out of its shares. She will take over for Wexner when the sale closes, which should be this spring. MORE: https://www.thisweeknews.com/business/20200312/l-brands-names-cleveland-woman-to-replace-wexner-as-chairman
April 13, 20205 yr Root Insurance recruits new HR chief from Facebook – just in time for pandemic response Starting a new job is a huge change. – Then there’s starting a new job remotely from 2,500 miles away. – Then there’s starting a job remotely from 2,500 miles away under state stay-home orders during a pandemic and the job is to lead the transition of more than 850 employees to remote work. Annette Reavis was recruited after 10 years at Facebook for the newly created role of chief people officer at fast-growing Columbus insurance startup Root Inc. Reavis started March 16, days ahead of Ohio’s order prompting adoption of work-from-home, and after helping direct the shift at the 40,000-person social network. She has an apartment in Grandview Heights, but can't yet leave San Jose, as California is under a shelter-in-place order. MORE: https://www.bizjournals.com/columbus/news/2020/04/08/root-insurance-recruits-new-hr-chief-from-facebook.html
April 14, 20205 yr As the coronavirus closes down businesses everywhere in Central Ohio - there is one type of business still operating: warehousing operations for e-commerce Below is a Business First article link from October 2019 about the boom in modern warehouse construction in Central Ohio. I never posted it previously because it's one of those subscriber-only articles that you can't read without a subscription. But it seems particularly relevant now. Huge modern warehouses are popping up all over Central Ohio - especially in three clusters where Amazon fulfillment centers were built - west of Columbus along I-70 in Madison County; east of Columbus along I-70 in Licking County; and south of Columbus at Rickenbacker. Additional e-commerce operations include businesses like Walmart, Target, Macy's, Kohl's and Medline. According to the article, in Fall 2019, there was 8.9 million square feet of warehouse space under construction across Central Ohio - which is the largest development pipeline at any time in the region. The Fall 2019 market-wide vacancy was down to 4.6 percent and modern bulk warehouses had a record low vacancy of 2.3 percent. Warehouse development hits record high in Central Ohio: 'Companies want to buy in': https://www.bizjournals.com/columbus/news/2019/10/04/warehouse-development-hits-record-high-in-central.html
April 22, 20205 yr On 2/20/2020 at 8:50 AM, CMHOhio said: Victoria's Secret is being sold off to Sycamore Partners, a New York City-based private equity firm: https://www.dispatch.com/business/20200220/l-brands-to-sell-victoriarsquos-secret-to-private-equity-firm Overall, not unexpected and likely not the worst thing to happen given the circumstances. Both companies have already done business together with Wexner's first retail venture, The Limited. L Brands will maintain a minority ownership in the company (45%). This deal to sell off 55% of Victoria's Secret to Sycamore Partners got done just before the coronavirus hit hard. But because of the stores shutting down due to the coronavirus - it might not be a "done deal" after all. Below is a report from CNBC: Private equity firm Sycamore is trying to get out of deal to take over Victoria’s Secret Private equity firm Sycamore Partners is looking to back out of its deal to take over Victoria’s Secret from L Brands, according to a lawsuit filed in a Delaware court on Wednesday. The deal for Victoria’s Secret to be taken private was reached in February, just weeks before the coronavirus pandemic started hammering the U.S. economy and forcing the closure of thousands of retailers’ stores. It ceded a 55% share to Sycamore for $525 million, allowing L Brands to focus on running its better-performing store, Bath & Body Works. Sycamore said in the filing that L Brands violated the transaction when it closed its stores and skipped rent payments in April. Sycamore is now seeking the court’s approval to break the deal, according to the filing. The terms of the transaction allowed for the possibility of a pandemic triggering a “material adverse effect” clause, which are typically included in deals to allow a buyer an opportunity to renegotiate should extraordinary events impact business. MORE: https://www.cnbc.com/2020/04/22/sycamore-partners-tries-to-get-out-of-deal-to-take-over-victorias-secret.html
April 22, 20205 yr And here's a bit more about this from Columbus Business First: https://www.bizjournals.com/columbus/news/2020/04/22/victorias-secret-buyer-backs-out-of-deal.html
May 4, 20205 yr Victoria’s Secret dispute could set precedent in legal, business worlds A New York company’s effort to back out of a deal to buy a majority stake in Victoria’s Secret because of the coronavirus outbreak will be closely watched in the legal and business worlds. Experts say the case could set a precedent - since the dispute could set the stage for similar battles - as companies’ operations and value plummet during the coronavirus pandemic. MORE: https://www.thisweeknews.com/business/20200424/victoriarsquos-secret-dispute-could-set-precedent-in-legal-business-worlds
May 5, 20205 yr On 5/3/2020 at 8:44 PM, Columbo said: Victoria’s Secret dispute could set precedent in legal, business worlds A New York company’s effort to back out of a deal to buy a majority stake in Victoria’s Secret because of the coronavirus outbreak will be closely watched in the legal and business worlds. Experts say the case could set a precedent - since the dispute could set the stage for similar battles - as companies’ operations and value plummet during the coronavirus pandemic. MORE: https://www.thisweeknews.com/business/20200424/victoriarsquos-secret-dispute-could-set-precedent-in-legal-business-worlds Or just call the whole thing off: L Brands calls off Victoria's Secret sale, plans to spin off brand instead: https://www.bizjournals.com/columbus/news/2020/05/04/l-brands-calls-of-victorias-secret-sale-plans-to.html
May 5, 20205 yr There's reasons Wexner has avoided large transactions with private equity partnerships and the shenanigans seen above are one of them.
May 6, 20205 yr Some more about the cancellation of the Victoria's Secret sale from the Dispatch: https://www.thisweeknews.com/business/20200504/with-sale-of-victoriarsquos-secret-called-off-whatrsquos-next-for-l-brands Apparently there will be no termination or penalty fees due to the cancelled sale. Both companies just walked away from it. Or as the chairwoman of the L Brands board said in the article, "The L Brands board believes that time is better spent working on Victoria’s Secret than fighting with Sycamore". According to the article, L Brands wants to keep Bath & Body Works (which has been a strong performer in recent years) as a stand-alone public company and that Victoria’s Secret would become a separate company.
May 7, 20205 yr Big Lots recently made a big real estate transaction. Hopefully this deal doesn't get conronavirus-scuttled like the Victoria's Secret deal was. Here are the particulars: Big Lots to sell Columbus warehouse, other facilities for $725 million Big Lots Inc. is selling off four warehouses, including its Columbus facility, in a $725 million deal. The company has entered into a purchase agreement with Chicago-based Oak Street Real Estate Capital LLC for four distribution centers around the country, including the Columbus center along with others in Durant, Oklahoma; Montgomery, Alabama; and Tremont, Pennsylvania. The Columbus distribution center at 300-500 Phillipi Road totals 3 million square feet and is one of the largest industrial facilities in the city. The deal, which will close in the second quarter of the year, is a sale-leaseback, meaning the company's operations will continue in each building under a lease. After taxes and other expenses, the company will see net proceeds from the sale of about $550 million, which it will use to pay down debt on its revolving credit, provide more liquidity amid the coronavirus pandemic and, once economic recovery begins, to move along its growth initiatives. This is the company's second big real estate deal in a few months. In November 2019, it sold a distribution center in Rancho Cucamonga, California. Cash consideration for that sale was $191 million, and the company reinvested $69 million of that to buy its newly built Columbus headquarters building at 4900 E. Dublin-Granville Road. MORE: https://www.bizjournals.com/columbus/news/2020/04/09/big-lots-to-sell-columbus-warehouse-other.html
May 7, 20205 yr Some other Big Lots news: -- Big Lots makes more changes in response to coronavirus pandemic: https://www.bizjournals.com/columbus/news/2020/04/27/big-lots-makes-more-changes-in-response-to.html -- Longtime Big Lots executive stepping down: https://www.bizjournals.com/columbus/news/2020/05/04/longtime-big-lots-executive-stepping-down.html
May 9, 20205 yr A couple of Business First articles about how Nationwide Insurance - one of Columbus' largest employers - is managing its employees during the coronavirus pandemic. Unfortunately, both articles are fully readable for subscribers only (unless its of their free coronavirus articles - which I can't tell since I'm a subscriber - so try the links). But I'll give an article synopsis, if you can't view the full article: Nationwide closing some offices in permanent shift to remote work At the outset of the coronavirus pandemic, Nationwide sent a majority of its office workers home. Now it plans to make that move permanent for some of them. The $49.3 billion Fortune 100 giant plans to close some of its smaller offices by November and transition employees from those offices – about 4,000 people in total – to permanent work-from-home status. The company had about 5,000 employees working from home prior to the pandemic, bringing the total when the move is done to about 30% of its 28,000 employees. "I think this is the future," CEO Kirt Walker said. "We are learning as we go, but I can see us being 50% work-from-home some day." The shift will not impact the company's Columbus headquarters or its large regional offices in Scottsdale, Arizona; San Antonio, Texas; and Des Moines, Iowa. It has 14,000 employees in Central Ohio, split between its downtown headquarters and new buildings at Grandview Yard. The Iowa campus has about 3,300 employees and the San Antonio office about 1,000. In Arizona it has 1,700 workers but is currently building a new regional headquarters with space to grow to 3,000. Some smaller offices will remain in place. The company plans to keep 670 working in the Nationwide Pet offices in Brea and Sacramento, California; 150 in a New York City management liability and specialty office; and 120 at an annuity distribution facility in Louisville. Closing, though, will be many smaller regional hubs, including offices in Gainesville, Florida; Harleysville, Pennsylvania; Raleigh, North Carolina; Wausau, Wisconsin; and Richmond, Virginia. MORE: https://www.bizjournals.com/columbus/news/2020/04/29/nationwide-closing-some-offices-in-permanent-shift.html
May 9, 20205 yr A Columbus-based giant plans to keep some employees at home even after coronavirus. Will other businesses follow suit? Columbus-based Nationwide is one of the first sizable companies to make its coronavirus-mandated work-from-home setup permanent, at least for some employees. But commercial real estate experts say it's unlikely to be the last. "We are seeing some employers keep 100% of their people home indefinitely, and some are just bringing back 20% to 40% and investing in space to accommodate social distancing," said Drew Suszko, architect and lead strategist at Columbus' BHDP Architecture. "The structure of work is already changing. There have been big investments in technology the past month, and the companies that have them are going to keep using them." Even companies that do opt to bring their staff back in force may find themselves making changes. The trend toward open offices and collaborative spaces in recent years has emphasized people coming closer together and spending more time in close interaction, but Covid-19 is likely to move that thinking in a different direction. ... Suszko said some employers could look at the office as a "clubhouse" – a place where workers go to collaborate and meet with people, but not necessarily where they go all day to sit at a workstation. Nationwide, for instance, is shuttering smaller offices across the country as it keeps thousands of employees at home for good, but will continue to keep its Central Ohio headquarters, a trio of regional hubs and some other physical office spaces open. MORE: https://www.bizjournals.com/columbus/news/2020/04/30/this-columbus-giant-plans-to-keep-someemployees-at.html
May 12, 20205 yr Amazon buys more land for data centers in New Albany Amazon.com Inc. has again added to its New Albany land holdings for a growing network of data centers. Amazon Data Services bought 112 acres off Beech Road, slightly north of its first 68-acre New Albany campus, for $21.8 million on April 20 from the city's real estate affiliate. The $195,000-an-acre price tops what it paid the New Albany Co. for the first purchase in 2014. An Amazon affiliate bought 103 acres for $10.8 million last year one mile east. The latest project, a 170,000-square-foot, $400 million data center, is expected to create 35 jobs. It would bring Amazon's total investment in New Albany to $1.7 billion, according to a city fact sheet. ... New Albany's IT cluster in its business park has attracted nearly $4 billion in other private investment, including data centers for AEP Ohio, Nationwide and Discover Financial. Facebook opened a $750 million facility last year and has plans for another $875M in development. Google is building a $600 million facility and has a permit for a second. The three tech giants could invest $4.2 billion in development over the next two years, with a projected $2 billion in Amazon construction and equipment alone. MORE: https://www.bizjournals.com/columbus/news/2020/05/05/amazon-buys-more-land-for-data-centers-in-new.html
May 12, 20205 yr Here's why Scotts Miracle-Gro thinks it will emerge from the pandemic a stronger company Rapid changes in the past two months in response to coronavirus could permanently alter and strengthen Scotts Miracle-Gro Co. and its brands, CEO Jim Hagedorn said. Consumers and cannabis companies turned their attention to plant life during widespread stay-at-home orders, resulting in spring sales to shoot up for the Marysville company. But other changes could outlast extraordinary circumstances, such as a shift to e-commerce at a scale it wouldn't have otherwise expected for five to 10 years. Sales for its busiest quarter ending in March rose 16% to $1.38 billion, and that's in comparison to a strong performance during the same period last year. That reflects an 11% increase in its consumer gardening business and 60% growth in its horticultural supply unit. MORE: https://www.bizjournals.com/columbus/news/2020/05/07/heres-why-scotts-miracle-gro-thinks-it-will-emerge.html
May 12, 20205 yr Exec team behind $165M gene therapy acquisition back with another Nationwide Children's spinout Nationwide Children's Hospital has licensed its biotechnology targeting antibiotic-resistant infections to the same executive team that led one of its gene therapy spinoffs to a $165 million acquisition. Clarametyx Biosciences Inc. launched this week with $3 million in seed funding toward its first application: treating hospital-acquired infections, which cause 2.8 million infections and 35,000 deaths in the United States each year. "We do think this could carry a billion-dollar-plus exit over time," said Bill Baumel, managing director of Ohio Innovation Fund, which co-led the round with Rev1 Ventures. Emerald Shoals Targeted Opportunities Fund also participated. All three are in Columbus. Children's also holds equity. MORE: https://www.bizjournals.com/columbus/news/2020/05/11/exec-team-behind-165m-gene-therapy-acquisition.html
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