Sears is planning to sell stores to raise around $800 million this year but the problem lies in the fact, they will be forced to part ways with their most profitable stores. Tough times ahead.
Sears Holdings moved on Thursday to allay fears that it could run low on cash this year, announcing plans to sell stores in transactions that the company says could raise nearly $800 million.
But the deals also highlight the major challenges that Sears faces as it tries to stop a multiyear slump in its operations, analysts said.
Sears may be giving up its most profitable stores in exchange for a quick cash infusion today. In one of the transactions, Sears also expects current shareholders to foot the bill, potentially leaving them more exposed to the troubled retailer.