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Reuters reports that hedge funder Eddie Lampert, chairman of bankrupt Sears Holdings, has “prevailed in a bankruptcy auction for the U.S. department store chain with an improved takeover bid of roughly $5.2 billion, allowing the 126-year-old retailer to keep its doors open.”

According to the story, “Lampert’s bid, boosted from an earlier $5 billion offer, prevailed after weeks of back-and-forth deliberations that culminated in a days-long bankruptcy auction held behind closed doors. The billionaire’s proposal, made through his hedge fund ESL Investments Inc, will save up to 45,000 jobs and keep 425 stores open across the United States.”

While Sears has accepted the offer, the bankruptcy judge overseeing Sears’ affairs still has to approve it. There remains a coterie of creditors that object to the deal, believing that they have a better chance to get some of the money they are owed if the company is liquidated.
KC's View:
Seems like déjà vu all over again.

What’s the over-under on how long it will take before Lampert starts announcing more layoffs and store closures? On when the company finally is liquidated? And when Lampert walks away, probably with a ton of real estate, leaving the shattered shell of an iconic retailer behind?

The end game, I am completely convinced, has nothing to do with retailing … which only has been demonstrated by the fact that Lampert is a complete incompetent in this field.