A range of retailers across channels are responding to the coronavirus outbreak with moves to temporarily close their stores, reduce store hours and other consumer and employee oriented initiatives.
During the third quarter, Hudson’s Bay continued to reposition its department store business even as its off-price Saks Off 5th operation generated positive comps in a period when the company’s luxury customers were bargain shopping.
Hudson’s Bay has completed the sale of the company’s remaining stakes in its European real estate and retail joint ventures to its partner, Signa Retail, for a total consideration of approximately $1.5 billion.
A special committee of the board of directors of Hudson’s Bay Company has issued an update on its ongoing review of the June 10 proposal for the privatization of the company from a group of HBC shareholders, including HBC’s governor and executive chairman, at a price of $9.45 per share in cash.
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.
As the corporate board reviews a privatization bid, Hudson’s Bay entered into definitive agreements to sell its remaining stake in its German real estate joint venture and divest a related retail joint venture to its partner, Signa, for $1.5 billion.
Hudson’s Bay is closing its Home Outfitters business in Canada and is performing a review of Saks Off 5th’s 133 stores, with an estimate of closing up to 20 locations in the U.S.
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.