Hudson's Bay Company acquires Saks Fifth Avenue
The Hudson’s Bay Company completed its acquisition of Saks Incorporated today (November 4). The merger means that HBC will include three North American retail brands: Hudson’s Bay, Lord & Taylor, and Saks Fifth Avenue.
According to a news release, HBC acquired Saks Fifth Avenue for US$16 per share in an all-cash transaction valued at US$2.9 billion. As a result, HBC will operate a total of 320 stores, including 179 department stores, 72 outlet stores, 69 home stores, and three online stores.
"This exciting portfolio of three iconic brands creates one of North America's premier fashion retailers," Richard Baker, HBC's chairman and CEO, stated in a July news release, when the Canadian company announced the merger. "I've had a long connection with Saks over the years, and am thrilled to bring one of the world's most recognized luxury retailers into the HBC family. With the addition of Saks, HBC will offer consumers an unprecedented range of retailing categories and shopping experiences."
Saks Fifth Avenue is comprised of 41 stores in 20 states across the U.S; five international locations in Saudi Arabia, the United Arab Emirates, Bahrain, and Mexico; 69 Saks Fifth Avenue OFF 5TH stores; and e-commerce sites saks.com and saksoff5th.com.
News of HBC’s acquisition of Saks comes at a time of considerable change for Canadian department stores. In October, Sears Canada announced that it will close five locations across Canada by 2015. Sears’ downtown Vancouver flagship has already been torn down to make way for B.C.’s first Nordstrom location, and more than 100 Zellers locations are set for a takeover by U.S. chain Target.
Nov 4, 2013 at 2:43pm
HBC, the Canadian company, is owned by New York-based firm NRDC Equity Partners.
Nov 5, 2013 at 8:44am
Does anyone shop at the Bay anymore?
Nov 6, 2013 at 8:43am
Saks Fifth Avenue will never be the same............
Nov 16, 2013 at 6:47am
HBC may do Saks some good in operating the stores more efficiently.
Nov 21, 2013 at 2:35pm
HBC is the oldest company in North America and the second oldest in the world. Neither Saks or Lord & Taylor could go wrong in this agreement. HBC is a proven company of over 200 years old.
Nov 29, 2013 at 3:21pm
The Bay had a 50 percent off all ladies's boots sale on- line yesterday. i ordered 4 pairs and didn't get the discount, When i called customer service, now in the US , I was advised due to website mergers between companies the ad was not valid as it was posted in error. Sale would not be honoured and would be removed. The ad remained there all day and was removed next day. i was charged full price for boots and will be returning them. Customer service was poor and disappointing . More job loss from Canada
Feb 14, 2014 at 4:13am
Saks is an overpriced Target store with all those consolidation sales and point system. Same crap clothes for more money...Oh my?