The Sears spinoff is moving ahead — no matter the
price. The struggling retailer,
controlled by hedge fund billionaire Eddie Lampert, said yesterday it will
proceed with a plan to spin off its Hometown outlet businesses and hardware
stores into a separate company.
But while Sears had originally expected to raise between
$400 million and $500 million from the spinoff, a Sears filing said it now
expects to raise about $346.5 million.
That’s despite the fact that the assets to be spun off are
among the most profitable in the company. While they account for just 6 percent
of revenue, they generate 25 percent of the retailer’s earnings before
interest, taxes, depreciation and amortization, or Ebitda.
Lampert also has met with investors about selling the Lands’
End brand, which accounts for as much as half the company’s profits, sources
told The Post.... Shares rose $2.94, or 5.7 percent, to $54.36.
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