Two of the oldest names in retail are joining forces this week, with the self-sale of Saks to Lord & Taylor parent company Hudson's Bay. Of course, as most things in luxury fashion do, this merger comes with a hefty price tag: $2.4 billion, or including debt, $2.9 million.
Between Saks' world-famous Fifth Avenue flagship store in addition to their 46 Saks and 66 Saks Fifth Avenue Off 5th locations nationwide, the company's 90 year history has given them a prominent place in the world of retail today. Likewise, Hudson's Bay is a company with a lengthy history: founded in 1670, it's widely regarded as the oldest operating company in North America.
The sale of the landmark department store is expected to close within the year. "We are excited about what this opportunity and being part of a much larger enterprise can mean for the future of the Saks Fifth Avenue brand," Steven Sodave, Saks' chief executive, said. However, don't expect much to change in terms of leadership at Saks. Key management will remain at the company, and the store will additionally retain their won marketing, merchandising and store operations. Not all will stay the same, though—expect to see both Saks and Off 5th stores make their way into the Candian market within the new few years.