Published: Tue, October 10, 2017
Worldwide | By Gretchen Simon

Sears Canada to ask court for permission to liquidate all remaining stores

Sears Canada to ask court for permission to liquidate all remaining stores

It's been a tough few months for once-iconic department store brand Sears, and it looks like news isn't getting any better for the once beloved retailer.

It subsequently received the Court's approval of a sale and investment solicitation process (SISP) to seek out proposals for the acquisition of, or investment in, the Sears Canada Group's business, assets and/or leases, and to implement one or a combination of proposals.

The company said in a statement that it would make the application to the Ontario Superior Court on Friday.

In layman's terms, all of Sears' remaining retail outlets will close for good.

The news that the store is shutting down isn't particularly surprising.

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It filed for creditor protection in June and laid out a restructuring plan that included cutting 2,900 jobs and closing roughly a quarter of its stores.

Last Tuesday, Sears received a revised bid from a buyer group led by its executive chairman Brandon Stranzl to buy the business as a going concern.

Like other major department stores, Sears Canada was the victim of changing consumer habits as well as increased competition from online merchants and United States discount retailers entering the Canadian market.

However, a lawyer for Sears Canada's court-appointed monitor told the court last week said it would consider it but the company was running out of money and time.

Sears Canada said that if it gets court approval to begin the process, it expects that liquidation sales at its stores would start no earlier than October 19 and continue for 10 to 14 weeks.

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