Eddie Lampert May Be Done With Sears Canada

Or Not. But he’s definitely done with Bruce Berkowitz.
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By Jonrev at English Wikipedia [Public domain], via Wikimedia Commons

By Jonrev at English Wikipedia [Public domain], via Wikimedia Commons

There may only be two people left on earth who believe in Sears: CEO and largest shareholder via his ESL Investments Eddie Lampert, and Fairholme Funds’ Bruce Berkowitz. The problem is, the two don’t exactly see eye-to-eye on things, and so have abandoned plans to jointly figure out how to fix Sears Canada. This leaves Lampert holding 53.3% of the bankrupt retailer’s stock between ESL and Sears itself, and a bunch of not-very-attractive sounding options. He can seek out some other sucker to try to buy Sears Canada out of bankruptcy, or he can do this:

ESL is also evaluating and considering a potential sale of some or all of its common shares of the Issuer (Sears Canada) in order to generate a tax loss for ESL and their investors.

Eddie Lampert, Fairholme Capital end talks on possible Sears Canada bid [CBC]
Eddie Lampert’s hedge fund says it may sell some or all its Sears Canada shares [MarketWatch]

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