Sweetened offer seals deal for Hudson's Bay Company
By Ottawa Business Journal Staff
Thu, Jan 26, 2006 11:00 AM EST
Hudson's Bay Co., Canada's oldest company and a retailing icon, has been sold to U.S. investor Jerry Zucker.
Directors of HBC have unanimously endorsed a sweetened offer of $15.25 a share for the company, 50 cents a share higher than Mr. Zucker's original takeover bid. The offer, made through Mr. Zucker's Maple Leaf Heritage Investments Acquisition Corp., totals $860 million plus debt. It expires Feb. 24.
The new offer from Mr. Zucker also eases some of the conditins attached to his first bid. The new offer requires the support to two-thirds of Bay shareholders. The original offer required 90 per cent support.
Directors of The Bay considered several rival offers, but concluded Mr. Zucker's was the best deal for shareholders.
"We are satisfied that the amended offer constitutes full and fair value for the company," Yves Fortier, governor of the Hudson's Bay Co., said in a statement.
The Hudson's Bay Company was founded in 1670. It now operates 550 retail stores under the Bay, Zellers and Home Outfitters banners.
"We are anxious to get to work with Mr. Zucker on realizing the value that we know is inherent in this great company," HBC president and CEO George Heller said.
As a canadian, Im somewhat sad to lose such a outstanding national retailer to another greedy U.S investor. Now that the HBC has taken over, does the hudson's bay company still have a right to be called canadian? The HBC to me was one of significant symbolism in the retail world. It represented Canada as a strong retailer. With a history dating back to almost 1670. Thats 300 years of canadian pride! BOUGHT by some American! IMHO, I think Jerry Zucker can just go to hell and shame himself to life in a plastic box for putting a price on such a Canadian figure. This also brings up so many other things, So many people in high places are willing to gain some $$$$$ to throw our heritage down the drain.WTH. Just want your input on this,btw, dont want to start a flame war
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