HBC defends $500 mln investment from Rhône Capital
Canadian retailer Hudson’s Bay Co (TSX: HBC) has responded to criticism from Land & Buildings Investment Management about its recent deals, including the sale of a stake to U.S. private equity firm Rhône Capital for US$500 million. HBC said the Rhône sale, which is "interconnected" with the US$850 million sale of the Lord & Taylor Fifth Avenue building, is not a control investment, as alleged. Rhône's buy of convertible preferred shares will instead give it a voting and equity interest of 21.5 percent (or about 30 percent if the shares are held for eight years). HBC urged Land & Buildings, a U.S. hedge fund, to "stop misleading our shareholders."
2 November 2017•4 mins read
