Nearly four months after Sears Holdings filed for Chapter 11 bankruptcy protection, the acquisition of the retailer by ESL Investments is now official.
Sears Holdings officials acknowledged Edward Lampert’s winning bid for the company, subject to bankruptcy court approval.
Three months after Sears Holdings filed for Chapter 11 bankruptcy protection, it appears as if there is life left in the venerable retailer.
Sears Holdings will consider a revised takeover bid from its chairman Edward Lampert just hours after it appeared that the venerable retailer was headed for liquidation, Reuters reported Tuesday afternoon.
Published reports indicated that Sears Holdings plans to ask a bankruptcy court judge to allow the retailer to move ahead with liquidation plans.
Sears Holdings will shutter an additional 80 locations under its Kmart and Sears banners as the retailer continues to operate while its bankruptcy proceedings move forward.
Although spun off in 2012, Sears Hometown & Outlet stores still has operational ties to Sears Holdings and that organization’s bankruptcy has hit the business. However, financially, the company gained some traction in the third quarter as it pushes to reach profitability.
A hedge fund run by Sears Holdings chairman Edward Lampert and Cyrus Capital Partners are reportedly working together to prepare a bid to take over the bankrupt retail chain.
Sears Holdings’ plans to stay in business while looking for a possible buyer was approved by a U.S. Bankruptcy Court on Thursday, November 15, despite objections by some creditors, according to a report by Reuters.
Sears Holdings will close an additional 40 locations in 2019 as the company continues to navigate bankruptcy proceedings.
Shed a tear for Sears Holdings if you must. Despite any flicker of post-Chapter 11 hope Eddie Lampert tries to peddle, all that seems left of this story— even if in some way the Sears and Kmart brands are salvaged or reincarnated— is for the plug to be pulled on what is left of the business as we know it and the remnants of its assets to be redistributed.
In consequence of the chapter 11 bankruptcy filing by parent Sears Holdings, Sears Home & Business Franchises, which offers appliances and other services to consumers, is “here to stay and open to serve you,” stated Jeff Pepperney, the company’s vp.
Sears Holdings has received approval on all first-day motions related to the company’s Chapter 11 bankruptcy filing.
With a possible bankruptcy filing on the horizon, Sears Holdings is reportedly missing some vendor payments as several major lenders push for the struggling retailer to be liquidated, published reports on Thursday, October 11, indicated.