ZELLERS NOT FOR SALE: Canada’s Hudson’s Bay Co. said there was nothing to the speculation that it will sell its Zellers division to Target Corp. “This is a rumor that has been around for years,” said Hudson’s Bay spokesman Rob Moore. “Every three or four months we have to field calls about a possible sale of Zellers. We have clearly communicated to the marketplace our strategic plan for three and even five years out, and that plan requires us to operate Zellers.” Last week, A.G. Edwards & Sons analyst Robert Buchanan issued a report that said his Canadian sources indicated Target would make a bid for Zellers as early as next month. In addition to Zellers, Hudson’s Bay operates The Bay department stores, Home Outfitters and Deals outlet stores. Target executives did not return calls for comment by press time.
SELLING WET SEAL SHARES: Lingerie retailer La Senza Corp. said Friday that its board authorized the sale of the company’s holdings in The Wet Seal Inc. The Montreal.-based firm said the sale — 3,123,000 shares of Wet Seal — will provide the lingerie retailer with additional funds for expansion. La Senza chairman and chief executive officer Irving Teitelbaum said in a statement the sale would “complete” La Senza’s strategic transformation into an international lingerie retailer. The sale of the stake means La Senza will no longer have to include the “equity pick-up” of Wet Seal’s operating results when La Senza reports its financial results, the company said.
This story first appeared in the July 19, 2004 issue of WWD. Subscribe Today.