Saks Fifth Avenue plans expansion into bankrupted Barneys’ Los Angeles store


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Saks Fifth Avenue plans expansion into bankrupted Barneys’ Los Angeles store

Saks Fifth Avenue, the NY-based American chain of luxury departmental stores purchased back in the 2013s by the North America’s oldest departmental store chain, Canada’s Hudson’s Bay Co., had been brewing off an option to expand its LA fashion chain stores in to Barney’s Beverly Hills shop, while had filed for a Chapter 11 bankruptcy protection last year mostly due to an abrupt hike in rents, at least two people familiar with the subject-matter had unveiled on Friday, the 14th of February 2020, on condition of anonymity as the sources were not authorized to speak publicly over the issue.

If truth is to be told, latest move of Canada’s Hudson’s Bay came forth ahead of a shareholders’ vote later this month over the Groupe’s Executive Chair Richard Baker’s C$2 billion proposal to take the luxury departmental store private, which in effect would insulate the NY-based fashion stores’ owner from public shareholders’ scrutiny.

In point fact, shares’ prices of Toronto Stock Exchange-listed Hudson’s Bay, two-third of whose market valuation was thwacked in a shorter recession during 2015-16 but never got back tractions, had shrugged off as much as 50 per cent of its market cap before Baker’s announcement, while the Northern America’s oldest departmental store chain had pared roughly 40 per cent of its earlier losses since the announcement of taking the company private.