Sears Holdings announces receipt of $5.2 billion winning bid from ESL

By Caroline Salls

Pittsburgh, Jan. 17 – Sears Holdings Corp. announced Thursday that ESL Investments, Inc. was selected as the winning bidder for substantially all of Sears’ assets with an offer of $5.2 billion.

According to a company news release, the assets being purchased include Sears’ “go-forward stores.”

The sale hearing is scheduled for Feb. 1. Subject to the satisfaction of closing conditions, the company said the transaction is expected to close on Feb. 8.

“We are pleased to have reached a deal that would provide a path for Sears to emerge from the Chapter 11 process,” the restructuring committee of Sears’ board of directors said in the release.

“Importantly, the consummation of the transaction would preserve employment for tens of thousands of associates, as well as the relationships with many vendors and suppliers who provide Sears with goods and services.

An agenda filed Thursday with the U.S. Bankruptcy Court for the Southern District of New York said a status conference on the company’s global bidding procedures will be held on Jan. 18.

Weil, Gotshal & Manges LLP is serving as legal counsel, M-III Partners, LP is serving as restructuring adviser, and Lazard Frères & Co. LLC is serving as investment banker to Sears Holdings.

Sears is a retailer based in Hoffman Estates, Ill. The company filed bankruptcy on Oct. 15, 2018 under Chapter 11 case number 18-23538.

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