Sears Captures Canadian Prize
By George Anderson
Sears Holdings Corp. announced that its bid to take over Sears Canada has become a reality now that it has received sufficient commitments to push the deal through.
Alan Lacy, vice chairman of the company, said in a released statement: “We are pleased that our transaction has received the support of a majority of the minority shareholders, including the two largest minority shareholders. With the success of our offer assured, we expect other Sears Canada shareholders to tender their common shares in order to promptly receive our offer price.”
According to The Associated Press, Sears expects to close the deal in December and then take Sears Canada private.
The company said it will extend its offer to Sears Canada shareholders through August 31. Some, however, seem intent on fighting the deal.
According to a Chicago Tribune report, Ronald Mayers, head of alternative strategies at Desjardins Securities Inc. in Montreal, is holding out for a higher offer. “Somebody thinks it ain’t over,” he said. “It’s check, but not checkmate.”
Moderator’s Comment: What will this deal mean for Sears Holdings and Sears Canada? What is the advantage for Sears Holdings in taking Sears Canada private?
– George Anderson – Moderator
- Sears May Take Sears Canada
Private – The Associated Press/Newsday
- Sears secures Canada takeover – Chicago Tribune
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