The department store chain Hudson’s Bay Company has announced that it intends to close one Saks Fifth Avenue branch and the six remaining own brand stores. The business concluded that it was now “unlikely” that a successful bid for the six-store model would be made.
As a result, the remaining stores will begin holding liquidation sales on 25th April and join the 73 Hudson’s Bay locations, 13 Saks Off 5th locations, and two Saks Fifth Avenue locations holding sales.
Following Hudson’s Bay’s filing of a Companies’ Creditors Arrangement Act (CCAA) in March, seven more locations have been added.
The procedure started when the Canadian retail group was only able to identify limited debtor-in-possession finance that would necessitate a complete liquidation, failing to obtain enough funding to move forward with a restructuring plan.
Hudson’s Bay expressed hope at the time that important parties will investigate a feasible alternative restructuring route that could save jobs, store space, and a business with significant historical significance before it’s too late.
According to the continuing auction of Investor Solicitation Process (SISP), an interested party may still bid on specific sites. After that, applicants may choose to remove the stores from the liquidation auction.
