Latest news with #creditorProtection
CTV News
23-06-2025
- Business
- CTV News
Hudson's Bay receives approval for sale of three leases to B.C. mall owner Ruby Liu
The flagship Hudson's Bay Company store is pictured in Toronto on Jan. 27, 2014. THE CANADIAN PRESS/Nathan Denette TORONTO -- The B.C. billionaire looking to turn Hudson's Bay's old digs into her own retail empire left court Monday with the beginnings of her venture in hand -- and a looming fight that could curtail her full ambitions. Ontario Superior Court judge Peter Osborne granted Ruby Liu permission to take over leases for three Hudson's Bay properties in malls she owns. She will pay $6 million for the set of leases at Tsawwassen Mills, Mayfair Shopping Centre and Woodgrove Centre. 'She is contributing millions of dollars of real value to the Companies' Creditors Arrangement Act process,' said David Ward, a lawyer representing Liu. 'She is betting on herself.' As he spoke, Liu and an entourage of her staff looked on from the gallery. Earlier that morning, she arrived clad in a stylish black blazer and high heel boots, carrying a Louis Vuitton purse. She posed for photos beside the court coat of arms and told media she was planning to move to Toronto. The sale of some Hudson's Bay leases comes after the storied department store filed for creditor protection in March, a few months shy of its 355th birthday. In the months after, it looked for a buyer who could keep some semblance of the retailer alive, but the search was fruitless. By June 1, all 80 Bays and 16 stores run under the Saks brands closed, putting their leases up for grabs. A dozen bidders made offers on a collective 39 properties. Liu, who made her money in China's real estate market, wound up winning the leases at three malls she runs because her bid had a superior value and terms, the Bay has said. Liu wants to use the properties to open a chain of modernized department stores she will name after herself. She has told The Canadian Press they will sell makeup, jewelry and apparel but will also have play spaces for children, dining areas and entertainment space. She expects to spend more than $30 million to revamp the spaces at her malls to accommodate her Ruby Liu stores. And that's just the beginning. The Bay has reached a deal with her for 25 more leases belonging to it and its sister Saks companies. Anyone who made an offer for leases had to make a deposit of 10 per cent of their estimated purchase price. Court documents show Liu made a deposit of $9.4 million, in addition to $6 million for the three approved leases, which would equate to a purchase price of $100 million for 28 leases. 'That is not really a business plan, that is a full-circle investment,' Liu's lawyer Ward said in recommending the court accept the three-lease deal. The remaining 25 leases are in Alberta, B.C. and Ontario properties she doesn't own. The Bay has yet to seek court approval for the arrangement, but landlords for the spaces are overwhelmingly opposed to her moving in. Court documents filed last week show landlords representing 23 leases in a group of 25 Liu wants to purchase won't approve her plan. 'We actually think it is 25 of 25 that have objected,' David Bish, a lawyer for landlord Cadillac Fairview, told the judge in court on Monday. He said his client and others have been provided with no copies of Liu's bid and little information about her plan. 'The process has been very troubled,' Bish said. 'At some point, we may discuss, if there is a forced assignment, how troubled it has been.' Lawyers for Oxford Properties and Primaris echoed his comments. Since it became clear that Liu's 25-lease transaction was facing opposition, she and her staff have been on a charm offensive. They launched a petition asking the public to support their goal. It had about 330 signatures as of Monday morning. They also published a public letter from Liu, who said her quest to own the Bay's leases is about reimagining retail and finding a way to give back to a country that gave her a new life. Liu admitted her task 'won't be easy.' She said some, including her own family, have questioned her and whether she will spend her whole fortune on the venture. 'To me, this isn't a gamble. It's not just about money or profit,' she wrote. 'It's about building something meaningful -- a space full of life, where people can reconnect in the real world.' Liu had bid on owning the Bay's name and trademarks but says she backed down after realizing she would have to continue to increase her offer to compete with Canadian Tire, which ultimately won the right to buy the intellectual property for $30 million. On Friday, Osborne approved a request to remove any references to Hudson's Bay and HBC from the name of the department store company. The name change is standard to avoid confusion in cases where someone has bought the rights to a collapsing company's name. By Tara Deschamps This report by The Canadian Press was first published June 23, 2025.
CTV News
19-06-2025
- Business
- CTV News
B.C. mall owner's push to buy 25 Hudson's Bay leases faces landlord opposition: docs
A Hudson Bay Company store in Toronto is shown on Monday, January 27, 2014. THE CANADIAN PRESS/Nathan Denette New court documents show that the landlords of former Hudson's Bay properties overwhelmingly oppose the department store's sale of leases to a B.C. entrepreneur. The documents filed by a court monitor appointed to help the Bay through creditor protection say landlords representing 23 leases in a group of 25 Liu purchased won't approve the plan. Court monitor Alvarez & Marsal says the landlords have also said they will oppose any future moves that would force them to accept the lease deal the Bay signed with Liu. As well as the group of leases the landlords oppose Liu also plans to buy three real estate contracts the Bay had at B.C. malls she owns. The Bay will ask a court to approve that deal Monday. In addition to the Liu deals, Alvarez & Marsal say an unnamed party is interested in up to eight leases in Ontario, Alberta, Saskatchewan and Manitoba. It says another lease transaction the Bay signed fell through after an unnamed company refused to correct errors in an agreement and then backed away from the purchase. This report by Tara Deschamps, The Canadian Press, was first published June 19, 2025.
Yahoo
19-06-2025
- Business
- Yahoo
B.C. mall owner's push to buy 25 Hudson's Bay leases faces landlord opposition: docs
TORONTO — New court documents show that the landlords of former Hudson's Bay properties overwhelmingly oppose the department store's sale of leases to a B.C. entrepreneur. The documents filed by a court monitor appointed to help the Bay through creditor protection say landlords representing 23 leases in a group of 25 Liu purchased won't approve the plan. Court monitor Alvarez & Marsal says the landlords have also said they will oppose any future moves that would force them to accept the lease deal the Bay signed with Liu. As well as the group of leases the landlords oppose Liu also plans to buy three real estate contracts the Bay had at B.C. malls she owns. The Bay will ask a court to approve that deal Monday. In addition to the Liu deals, Alvarez & Marsal say an unnamed party is interested in up to eight leases in Ontario, Alberta, Saskatchewan and Manitoba. It says another lease transaction the Bay signed fell through after an unnamed company refused to correct errors in an agreement and then backed away from the purchase. This report by The Canadian Press was first published June 19, 2025. Tara Deschamps, The Canadian Press
Yahoo
08-06-2025
- Business
- Yahoo
Apparel brand Oak + Fort to restructure amid tariff woes
VANCOUVER — Canadian apparel brand Oak + Fort says it has obtained creditor protection as it works to restructure the business. The Vancouver-based company says the move is necessary because U.S. tariffs have joined other price pressures and led to a decline in consumer confidence and spending. The tariffs arrived after Oak + Fort pushed to open 26 new Canadian and U.S. stores in the last four years, which the company says resulted in a reduced and ultimately insufficient investment in its e-commerce platforms. Court documents show the company owes more than $25 million to creditors including some landlords who didn't receive May rent payments. Oak + Fort says it will continue to operate stores and an e-commerce business during the restructuring. The retailer has hired Reflect Advisors LLC to assist with the restructuring. Oak + Fort was founded in 2010 as an online boutique that eventually expanded to 42 stores in Canada and the U.S. selling womenswear, menswear, accessories, jewelry and home goods. This report by The Canadian Press was first published June 7, 2025. The Canadian Press Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CTV News
13-05-2025
- Business
- CTV News
Hudson's Bay expected back in court to extend creditor protection
TORONTO — Hudson's Bay is due to return to an Ontario court today for the first time in roughly two weeks to seek a reprieve from the hundreds of businesses it owes money. The department store is expected to use the Tuesday morning appearance to ask Judge Peter Osborne to stretch the period of time it is protected from its creditors to July 31 rather than ending May 15. The extension request comes as the business, which holds the title of Canada's oldest company, appears to be hurtling toward a new future. After filing for creditor protection in March because it was having trouble paying 26 pages' worth of landlords, vendors and suppliers almost $1 billion they were collectively owed, Hudson's Bay put itself, its assets and its leases up for sale. Seventeen bidders want the entire business or treasures like its intellectual property. Twelve are vying for 39 leases. In a court filing, the retailer said an extension to the creditor protection it was first granted in March will help the company complete these sales processes and finish liquidating its 80 Bay stores and 16 Saks banners. The additional time would mean the company could 'maximize value for the benefit of the (Bay) and their stakeholders,' the filing said. So far, proceeds generated by the liquidation sales wrapping at the end of the month have exceeded even Hudson's Bay's expectations several times. Between March 8 and 14, the company made $21 million, beating its own estimates by about $7.4 million and allowing it to return some last-minute financing it received from Restore Capital that month to keep it afloat, court documents show. Between April 19 and May 2, sales surpassed $129 million, about $36.8 million more than the company initially forecast, the documents reveal. Because the cash is 'in excess of the applicants' operating needs,' the Bay wants to repay as much as $165 million to its senior lenders, Bank of America and Restore Capital LLC. It is expected to ask the court on Tuesday for permission to make these repayments. This report by The Canadian Press was first published May 13, 2025. Tara Deschamps, The Canadian Press
