Hudson’s Bay Co. will reside on in some vogue, and what kind it takes might be solely as much as Canadian Tire.
On Tuesday, the beleaguered division retailer acquired courtroom approval to promote its mental property, together with its iconic multicoloured stripes motif, to Canadian Tire for $30 million.
Bankrupt Hudson’s Bay Co. will use the money to pay a few of its money owed earlier than the 355-year-old retailer disappears fully. On Sunday, the corporate wrapped up liquidation gross sales and closed its remaining 96 Bay and Saks-branded shops to the general public.
As a part of the $30-million deal, Canadian Tire will take possession of not solely the Hudson’s Bay stripes, but additionally its firm names and different logos, akin to its historic coat of arms image.
The large field retailer can even get the entire Bay’s buyer information, together with private data, and domains for its web sites, courtroom paperwork have proven.
The deal excludes the storied firm’s artwork, artifacts and archives, in addition to any of its greater than 9,000 staff, most of whom have already been laid off.
WATCH | Hudson’s Bay closes all retailer:
Hudson’s Bay staff prepare for final day on the job
As of June 1, 8,300 staff might be laid off. As soon as the corporate’s distribution centres shut on June 15, an extra 899 staff can even be let go.
In March, indebted HBC was granted creditor safety by Ontario Superior Courtroom, placing its property up on the market. Seventeen events submitted bids for the retailer’s mental property.
“The Canadian Tire transaction, amongst different issues, gives for the best buy value of any bid acquired … and subsequently gives the best worth,” said a courtroom doc filed on Could 29.
Canadian Tire, which has greater than 1,700 retail places throughout the nation, says it has additionally submitted a bid for “a handful” of Hudson’s Bay’s lease places. In accordance with courtroom data, HBC has acquired 12 bids for 39 of its leases.
Final month, the Hudson’s Bay introduced it reached a deal to promote 28 lease places in Ontario, Alberta and British Columbia to Ruby Liu Industrial Funding Corp. The corporate is not directly managed by B.C. mall proprietor, Ruby Liu.
Liu plans to launch “a brand new trendy division retailer idea in Canada,” Hudson’s Bay mentioned in an announcement.
The retailer added that the deal nonetheless wants approval from each the courtroom and the landlords controlling the 28 leases. “There may be no assurances that the circumstances to closing might be happy,” said HBC.
