The end may be near for Sears Holdings.
Reuters reported on Tuesday, January 8, that the parent company of Sears and Kmart will ask a bankruptcy judge to allow the company to proceed with liquidation after it could not reach an agreement with company chairman Edward Lampert on a $4.4 billion takeover bid.
Since filing for Chapter 11 bankruptcy protection in October, Lampert has worked to develop a takeover bid for the struggling retailer. Just prior to the start of 2019, Lampert put forth his $4.4 billion bid that was backed in part by various financial institutions including Lampert’s ESL Holdings, Bank of America, Citigroup and Royal Bank of Canada.
The report also indicated that U.S. Bankruptcy Court Judge Robert Drain in the Southern District of New York, could give Lampert additional time to improve his bid.
Since filing for bankruptcy, Sears Holdings has announced the closure of 262 stores. The company when it filed for bankruptcy operated about 700 locations.