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RAPAPORT... Sears Holdings anticipates raising as much as $380 million from selling most of its stake in Sears Canada Inc. through a rights offering of up to 40 million shares, which would boost the beleaguered retailer's liquidity ahead of the Christmas season. Sears Holdings has a 51 percent stake in Sears Canada, but once the offerings is approved by regulators and completed, its share would fall to about 12 percent.
The offering will be issued to Sears Holdings shareholders of record as of October 20 and company CEO Edward Lampert stated that his hedge fund, ESL Partners LP, would exercise their rights, raising at least $168 million. ESL Partners provided a $400 million loan to Sears Holdings in September.
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