More Retail Woes: Saks Fifth Avenue Parent Company Looks To Secure Bond Deal

Hudson’s Bay Company, the parent company of Saks Fifth Avenue, is reportedly looking to secure a bond offering to help with its finances after being forced to close all of its stores because of the coronavirus pandemic.

The Canadian retailer is looking to raise about $800 million to $900 million in a bond agreement with investors, sources for CNBC said. However, it was unclear at the time of writing exactly what Hudson’s Bay was offering its investors as collateral for the bond offerings.

Hudson’s Bay would join several other retailers in securing a bond deal as of recently, such as Macy’s and Nordstrom, which raised $4.5 billion and $600 million, respectively, the news outlet said.

The bond deal also follows the news that retailers Neiman Marcus, J. Crew, and JC Penney filed for bankruptcy during the COVID-19 pandemic. Retailers RTW Retailwinds, Tailored Brands, and Brooks Brothers are also reportedly on the verge of filing for bankruptcy protection.

Hudson’s Bay has begun reopening its stores, with about 40 Saks Fifth Avenue locations reopened with reduced hours.