Ed Record, the chief financial officer for Hudson’s Bay Co., has returned from medical leave and resumed his duties at the Toronto-based retailer.
Becky Roof, a managing director with AlixPartners LLC, has stepped down as interim cfo.
Record joined HBC as cfo in August 2017 and has been focused on streamlining the company and improving the company’s balance sheet.
This week, a special shareholder’s meeting to vote on a $10.30 Canadian bid to take the company private by executive chairman Richard Baker and like-minded shareholders representing 57 percent of the shares was postponed. The Ontario Securities Commission ordered HBC to update its circular on the privatization offer to provide shareholders with greater transparency. HBC will have to present it to the OSC for review before it’s mailed out again to shareholders.
It’s believed that Baker and his group, which offered $10.30 Canadian for the 43 percent of the company they didn’t own, was unsuccessful in its attempt to get the required majority of the minority shareholders to vote in favor of their bid. By the end of last week, it became apparent that not enough of the minority shareholders wanted to take Baker’s deal.
Catalyst Capital Group, a Canadian firm investing in distressed securities, has opposed the bid by Baker as unfair and undervaluing the company, and has made its own for all of HBC at $11 per share.
As it stands, Baker’s group, representing a majority of the HBC shares, can block any offer. Included in the group, aside from Baker, are Rhone Capital LLC; WeWork Property Advisors; Hanover Investments (Luxembourg) SA, and Abrams Capital Management LP.
Sources said Monday that chances are good that Baker and his group, after campaigning vigorously over the last several weeks to win over shareholders, will lay low and ultimately keep the company public. HBC operates the Saks Fifth Avenue, Saks Off 5th and Hudson’s Bay stores and web sites.