The day of reckoning has come for Sears.
The century-old department-store chain has just 24 hours to secure a bid for the company, without which it faces liquidation.
Sears chairman Edward Lampert and his hedge fund, ESL Investments, outlined a plan earlier this month to buy up the rest of Sears for up to $4.6 billion in cash and stock. However, sources told CNBC that as of Thursday afternoon Lampert had not submitted his bid or rounded up financing.
These sources also said ESL Investments is the only party offering to buy Sears as a whole, CNBC reported.
A spokesperson for ESL Investments declined to comment to Business Insider.
Lampert may well be biding his time, but sources told CNBC that it’s also possible he could secure financing to meet Friday’s deadline.
Sears filed for bankruptcy in October. The company has been losing money and closing stores for years, and many employees blame its former CEO turned chairman, Lampert. In interviews with Business Insider’s Hayley Peterson in 2016, executives accused Lampert of neglecting Sears’ stores and leaving them to crumble in his bid to turn Sears into a tech company.
Between 2013 and this October, Sears’ store count dropped from 1,980 to 687, according to the company’s bankruptcy filing. The department store stayed afloat thanks to Lampert bailing it out with billions of dollars of loans through his hedge fund ESL Investments.
from Viral Update News http://bit.ly/2AgKh8M
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