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.