Nordstrom's stock price surges over 10% after news of private ownership attempt.

• Following a report that the department store operator is considering going private, Nordstrom shares rose.
• According to Reuters, there is a possibility that a deal may not occur, as a similar attempt failed in 2018.
• Nordstrom earlier this month gave a disappointing sales outlook for 2024.

On Tuesday, the department store chain's shares experienced a more than 10% increase in value after a report was released stating that the company is considering going private.

According to Reuters, the retailer's founding family is collaborating with investment bank Centerview Partners to assess private equity firms' interest in a potential deal. Morgan Stanley declined to provide any comment on the matter.

According to Reuters, a deal may not occur as a previous attempt to privatize Nordstrom failed in 2018.

In a competitive retail market, where consumers are tightening their budgets due to inflation, Nordstrom has faced challenges in boosting sales. The company recently forecasted a poor sales performance for 2024.

Nordstrom anticipates full-year revenue to fluctuate between a 2% decrease and a 1% increase from 2023.

This year, the company's shares had dropped approximately 7% before Tuesday's move.

Nordstrom did not immediately respond to CNBC's request for comment.