HBC to sell Lord & Taylor building, raises $500 mln from Rhône: Reuters

Canadian department store operator Hudson’s Bay Co agreed to sell its Lord & Taylor building for US$850 million to SoftBank-backed WeWork Cos and shrink the flagship store on New York’s Fifth Avenue to a quarter of its current size, Reuters reported. HBC also reaffirmed a commitment to its European operations despite opposition from activist investor Jonathan Litt, who is considering seeking the removal of some directors. The company also said U.S. private equity firm Rhône Capital will invest US$500 million in HBC, with the transactions reducing its debt by $1.6 billion and increasing liquidity by $1.1 billion.

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