AN INVESTOR group seeking to buy Macy’s is raising its offer by nearly US$1 billion after the department store chain rebuffed its prior proposal as too low, the Wall Street Journal reported on Sunday.

Arkhouse Management and Brigade Capital Management are now offering to acquire the Macy’s stock they don’t already own for US$24 per share, or US$6.6 billion, the report said, citing people familiar with the matter.

The two investment firms had submitted a proposal in December last year to acquire the shares of Macy’s they don’t already own for US$21 a share but the offer was rejected by the department store operator due to concerns over the deal’s financing and valuation.

Macy’s and the two investment firms did not immediately respond to a Reuters’ request for comment on the report. REUTERS