Sears will stay in business as judge approves Eddie Lampert’s bid
Sears Holdings Corp. has been given a lifeline.
A Federal Bankruptcy Court judge on Thursday approved Edward Lampert's bid through his ESL Investments hedge fund to purchase the struggling retailer’s assets for $5.2 billion. It was the only submitted offer that would have kept Sears alive and in business.
In allowing Lampert’s bid to go through, Judge Robert Drain rejected arguments from the retailer’s unsecured creditors who had urged the court to shut down the company down and liquidate the assets.
Lampert has said the ESL offer would will save some 45,000 jobs and approximately 425 stores.
Under the terms of the offer, ESL will acquire substantially all of the company's assets, including 424 stores, for approximately $5.2 billion. Sears' other brands include its Home Services business and Kenmore and DieHard brands. Lampert’s offer is the only one that would keep Sears up and running, preserving an estimated 45,000 jobs.