Sears rejects offers from his president and wants to continue with its liquidation plans
Share
Sears Holdings Corp will ask a bankruptcy judge on Tuesday whether if it can proceed with the liquidation after it couldn’t reach an agreement on the offer of acquisition for 4,400 million dollars from its president Edward Lampert, which casts doubt on the survival of the US department store chain, sources familiar with the case said.
If Sears liquidated its assets, it would become one of the most prominent victims in the wave of bankruptcies that have affected the retail sector in recent years, as the popularity of online shopping exacerbates the fierce price competition facing physical stores.
US bankruptcy judge Robert Drain in the Southern District of New York, who chairs the case, said he could give Lampert more time to improve his offer, the sources said. A bankruptcy auction for Sears assets should not be held until January 14.
Sears will now plan a separate auction of its assets and real estate in February, some of the sources said. Lampert, who also made an offer of support for some of the assets as part of his initial proposal of 4,400 million dollars, will make another offer, the sources added.
Source: Forbes
.
