October 24, 2017 / 12:12 PM / 2 years ago

BRIEF-Hudson's Bay to sell Lord & Taylor 5th Ave building

Oct 24 (Reuters) - Hudson’s Bay Co:

* HBC and WeWork enter into global, multi-faceted strategic relationship

* Hudson’s Bay Co - ‍WeWork property advisors to acquire Lord & Taylor Fifth Avenue building in a transaction valued at U.S.$850 million​

* Hudson’s Bay Co - ‍Rhône Capital to make u.s.$500 million equity investment in HBC​

* Hudson’s Bay Co - ‍HBC to reduce outstanding debt and/or increase cash by approximately c$1.6 billion and increase total liquidity by c$1.1 billion​

* Hudson’s Bay Co - ‍HBC currently anticipates minimal impact on its earnings from sale of Lord & Taylor Fifth Avenue building​

* Hudson’s Bay Co - strategic alliance is expected to produce future real estate deals and monetizations, consistent with hbc’s strategic objectives​

* Hudson’s Bay Co - ‍companies intend to implement a reciprocal benefits program to enhance their respective product offerings​

* Hudson’s Bay Co - ‍lord & Taylor Fifth Avenue flagship store is expected to continue operations in entire building throughout 2018 holiday season​

* Hudson’s Bay - to use proceeds from private placement & sale of lord & taylor fifth avenue building to reduce indebtedness under asset-based revolving facility​

* Hudson’s Bay - an investment vehicle affiliated with rhône, subscribed for 50.92 million hbc’s series a convertible preferred shares at $9.82 per share​

* Hudson’s Bay Co - ‍in connection with private placement, hbc has concurrently entered into an investor rights agreement with Rhône​

* Hudson’s Bay-upon closing of private placement, co intends to appoint M. Steven langman, eric gross additional directors to board of directors of HBC​

* Hudson’s Bay Co - ‍WeWork property advisors, a joint venture between wework and rhône, expects to assume part of $500 million​ equity investment Source text for Eikon: Further company coverage:

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below