Hudson’s Bay Company has completed the sale of Lord + Taylor to Le Tote, a leading fashion rental subscription service, for $75 million in cash and a secured promissory note for $25 million payable in cash after two years, subject to customary adjustments.
Although Hudson’s Bay has taken a number of significant steps to right its financial course, including winding down its Home Outfitters chain and selling its German operation, the company still posted a bigger first quarter adjusted net loss. The bigger loss came despite improvement at its Saks department store and off-price operations.
Hudson’s Bay Company (HBC) said it is pursuing strategic alternatives for the Lord + Taylor operating business, including a possible sale or merger.
Hudson’s Bay said it was encouraged with its turnaround strategies through the third quarter, highlighted by a strong comp increase at its Saks Fifth Avenue division.
As Hudson’s Bay released its second quarter results including a company-wide 0.4% decrease in comparable sales and a larger loss, the department store retailer said it is forming a strategic partnership for its European business.
Hudson’s Bay Co. has refuted recent reports it had signed a binding agreement to sell or combine its European business or properties but acknowledged that it is in discussions with Signa Holding GmbH exploring a potential joint venture and has signed a non-binding letter of intent with that firm.
Following its pending sale of Gilt to Rue La La, Hudson’s Bay revealed a bigger net loss and lower overall comps in the first quarter.
Hudson’s Bay has named Stephen Gold as chief technology and digital operations officer, effective immediately.
Hudson’s Bay has appointed Vanessa LeFebvre as president of Lord & Taylor.
Hudson’s Bay Company has appointed Bari Harlam as chief marketing officer, effective immediately.
Hudson’s Bay said it has become aware of a data security issue involving customer payment card data at certain Saks Fifth Avenue, Saks Off 5th, and Lord & Taylor stores in North America.
Hudson’s Bay has appointed Helena Foulkes as chief executive officer, effective February 19, 2018.
Hudson’s Bay Company and Rhône Capital have completed a previously announced $500 million equity investment by an affiliate of Rhône Capital as part of a global, multi-faceted strategic relationship with Rhône and WeWork Companies.
Hudson’s Bay Company cost cutting went a bit too deep, it acknowledged, and cost the company in a third quarter when losses increased.
Hudson’s Bay has appointed Milton Pappas chief marketing officer, effective immediately.
Hudson’s Bay is aiming to reshape its retailing business. The company has formed a series of transactions with WeWork Companies, Rhône Capital and an affiliate of WeWork Property Advisors, a joint venture between WeWork and Rhône, which it said will create a multi-faceted strategic relationship designed to maximize the value of its global real estate assets and position its retail businesses.
Hudson’s Bay CEO Gerald Storch has stepped down, effective November 1, to return to his advisory firm, Storch Advisors.
Hudson’s Bay posted a deeper net loss in the second quarter, although the retailer did see some sales growth improvement at Saks and digital channels.
Following a first quarter in which retail sales were down low-single digits, Hudson’s Bay has named a new president of its Canadian division and is implementing a “transformational plan” that includes reducing 2,000 positions company wide.
Hudson’s Bay Company has appointed Ed Burstell as head of partnerships.