Sears Holdings will ask a bankruptcy judge tomorrow if it can proceed with liquidation after its stakeholders could not reach an agreement on Chairman Edward Lampert’s $4.4bn takeover bid, according to latest reports.
BREAKING: Sears has rejected Chairman Eddie Lampert's bid to save the company, setting the storied retailer on a path to liquidation https://t.co/nQGqGrYADT
— CNBC Now (@CNBCnow) January 8, 2019
Sears has lined up Closter, New Jersey-based Abacus Advisory Group LLC to sell the chain’s vast inventories of tools, appliances and store fixtures should negotiations with Chairman Edward Lampert over his $4.4 billion takeover bid end unsuccessfully, the sources said.
Lampert’s bid to rescue Sears through an affiliate of his hedge fund, ESL Investments Inc, has fallen short so far, the sources said. The billionaire and Sears are racing to resolve the bid’s sticking points before a Tuesday court date after negotiations dragged well beyond a Friday deadline, the sources said.
The bid would preserve 425 Sears stores and up to 50,000 jobs across the United States, according to a letter delivered to Sears on Dec. 28. A liquidation would put roughly 68,000 people Sears now employs out of work.