Hudson’s Bay Co. ULC has received several offers for their business, 355 -year -old leases and assets as part of its restructuring process, but none came from members related to the company, according to judicial documents.
The oldest department stores in Canada have been looking to raise money monetizing their leases and selling their intellectual property (IP) to pay around $ 1 billion to their creditors. The deadline to offer for the company and its IP ended on April 30, and lease offers had to be held before May 1.
HBC has not revealed who the bidders are, but the judicial document published on Wednesday said there were “several” qualified biders “for leases, but none of the” experts. ”
Similarly, the sales and investment application process (SISP), through which the HBC IP can be sold, such as its brand, also received numerous offers, but none of a “related person”.
The company has also been trying to raise money liquidating its 96 stores in Canada and auctioning 1,700 pieces of art and more than 2,700 artifacts.
Urban Corp., an investment firm based in Toronto with assets of approximately $ 500 million, in April said he had presented an offer to buy the HBC brand and the Royal Charter, a historical document that gave the company exclusive commercial rights over a part of Canada in 1670.
The media reports also suggested Canadian Tire Corp. Ltd. and a multimillionaire with Vancouver headquarters are possible.
HBC was for the first time to the Court on March 7 to seek protection of its creditors through a suspension order under the Law of Agreement of Creditors of the Companies (CCAA). The request was granted by the Court that same day, and the stay order finally extended until May 15.
The company will return to the Court next week to extend the stay period until July 31.
“The extension of the suspension period is necessary and appropriate in the circumstances to provide (HBC) the ability to complete the liquidation process, the lease monetization process and the SISP process, to maximize the value for the benefit of applicants and their interested parties,” said the judicial document.
HBC will also try to obtain the Court’s approval to pay part of the cash that borrowed from certain lenders.
The company also said that it will go to some of its saks from the fifth store before, since the settlement sales in these “small” stores are expected to be completed before other HBC locations.
Nine of 13 Saks outside the fifth closed store before April 27, and the rest is expected to close before June 1.
• Email: nkarim@postmedia.com
Mark our website and support our journalism: Do not miss the business news you need to know: Add Financiast.com to your markers and register in our bulletins here.
