Last-Minute Deal Buys Sears More Time, Avoids Liquidation
NEW YORK (CBSNewYork/AP) - Sears is getting another reprieve from liquidation after its chairman and largest shareholder revised his bid to save the iconic brand.
The Hoffman Estates, Illinois-based retailer says it has accepted Eddie Lampert's bid through an affiliate of his ESL hedge fund that could keep 425 stores open and save tens of thousands of workers, according to a hearing on Tuesday at the bankruptcy court in White Plains, N.Y.
The bid now requires Lampert to deposit $120 million by 4 p.m. Wednesday through his hedge fund.
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The revised bid is not official, and will be evaluated in an auction set for Jan. 14 that will compete with other bids from liquidators looking to shut it down.
Sears and Kmart's parent company filed for bankruptcy last year and already planned to close 142 of its worst-performing stores.
The retail chain could close even more locations as the bankruptcy process proceeds.