Skip to main content

Kenmore washers and dryers on display at a Sears store in West Jordan, Utah.

Rick Bowmer/The Associated Press

A hedge fund owned by the chief executive of Sears Holdings Corp, Edward Lampert, has offered to buy the company’s Kenmore appliances brand for $400 million in cash, Sears said in a regulatory filing on Tuesday.

ESL Investments also made an offer to buy the Home Improvement business of the company’s home services division for as much as $80 million in cash, according to the filing with the U.S. Securities and Exchange Commission.

It said the offers were made in a letter to Sears’ board.

Story continues below advertisement

The offer for Kenmore is conditional on ESL receiving equity financing from a potential partner, according to the filing. No partner was named.

Lampert said in April Sears should sell its Kenmore brand, home improvement businesses and real estate, and that ESL Investments would bid in any sale.

Sears formed a special committee in May to explore the proposal.

In its fiscal first quarter ended May 5, Sears reported a net loss attributable to the company of $424 million, or $3.93 per share, compared with a profit of $245 million, or $2.29 per share, a year earlier. The company’s store closures brought down its revenue by nearly 31 per cent in the first quarter.

Report an error
Tickers mentioned in this story
Unchecking box will stop auto data updates
Comments

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • All comments will be reviewed by one or more moderators before being posted to the site. This should only take a few moments.
  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

Comments that violate our community guidelines will be removed. Commenters who repeatedly violate community guidelines may be suspended, causing them to temporarily lose their ability to engage with comments.

Read our community guidelines here

Discussion loading ...

Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.
Cannabis pro newsletter