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.
Hudson’s Bay said its chief financial officer, Ed Record, will be taking a medical leave of absence, effective June 17. In his absence, the company has appointed Becky Roof as interim CFO.
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.
In a fourth quarter when it continued to realign its business, Hudson’s Bay recorded a net loss but pointed to an overall improvement in its operations.
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.
Saks Fifth Avenue has advanced the grand renovation of its Fifth Avenue flagship store.
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 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.
With a new CEO at the helm, Hudson’s Bay’s turnaround strategies helped it improve results and post a profit in the fourth quarter, but sales continued to decline.
On March 8, Saks Off 5th will open a new, 34,000 square foot store at Chimney Rock Crossing in Bridgewater, NJ.
Saks Fifth Avenue is opening its third Canadian location in Calgary, Alberta.
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.