Hudson’s Bay Plans to Rescue Six Stores, Begins Liquidation Process on Monday
After spending a week searching for a lifeline, Hudson’s Bay has managed to keep six stores open.
Canada’s oldest company is currently in court seeking permission from an Ontario judge to liquidate all but six stores, with plans to commence this process on Monday.
Hudson’s Bay’s lawyer, Ashley Taylor, explains that the company is making this request due to recent sales exceeding expectations, allowing them to keep operating six stores and repay interim financing received from a lender.
The company’s financial struggles have prompted a surge in sales from customers eager to purchase its renowned striped products, fearing the closure of the retailer.
Ashley also mentions that the company desires the flexibility to remove additional stores from liquidation if a solution is found for more locations, cautioning that if no restructuring plan materializes quickly, the six stores may also join the liquidation sale.
Court documents indicate a goal to conclude the liquidation sales by June 15, without specifying the extent of discounts.
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The company is also seeking approval from the judge to vacate the properties by June 30.
Following a week of attempts to resolve disagreements before the judge’s decision on the liquidation plan, the company’s lawyers and stakeholders are back in court.
