Lampert’s hedge fund ESL investments already owns some shares, but Transform Holdco will purchase all other outstanding shares of Sears Hometown and Outlet Stores Inc. for $2.25 per share in cash.
“Having these businesses under common ownership will accelerate Transform’s strategy of growing its smaller store format by adding Sears Hometown stores. It will also expand the company’s footprint as a multi-channel business that can serve customers through a variety of shopping experiences to meet their needs, provide growth for Transform’s marquee brands, including Kenmore and DieHard,” according to the statement.
»BIZ BEAT: How a nearly century-old Dayton company continues to grow
The businesses will initially operate independently, but Transform sees opportunities to partner and be more efficient with larger scale, Lampert said.
There are 491 Hometown stores and 126 Outlet stores that generated $1.4 billion in net sales in 2018. The acquisition is subject to a marketing process and potential premerger sale of the outlet segment to a third party, according to the statement.
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