Hudson’s Bay IPO to raise $366 million

Canadian department store retailer Hudson’s Bay has said it will look to raise $366 million through the initial public offering it filed last month.

Hudson’s Bay, which operates 90 stores in Canada, plans to sell 21 million shares at $17 each. The decision to return to the Toronto Stock Exchange values the retailer at $2.04 billion.

Trading under the HBC symbol is expected to start on the closing of the offer. The offering will include a treasury offering of 14.7 million shares and a secondary offering of 6.8 million by Hudson’s Bay Co (Luxembourg), which will raise $250 million.

The net proceeds will be used to repay the company’s debt and Hudson’s Bay Co (Luxembourg) will continue to hold 98 million shares, or 82% of the outstanding stock.

The IPO is being made through a syndicate of underwriters led by RBC Capital Markets, BMO Capital Markets, CIBC and BofA Merrill Lynch, who will act as joint bookrunners.

For more fashion and apparel industry news, go to just-style.com

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