Retail chain Sears Canada and its subsidiaries are seeking approval from the Ontario Superior Court of Justice to liquidate all of its remaining stores and assets.

If received, the approval will result in store closures and loss of jobs. Once obtained, the retailer intends to commence liquidation sales at its stores beginning next week and set to continue for ten to 14 weeks.

The development comes after the company secured protection under the Companies' Creditors Arrangement Act (CCAA) in June this year.

The company had then announced its decision to close 59 stores and cut 2,900 positions as part of a court-supervised restructuring plan.

"Once obtained, the retailer intends to commence liquidation sales at its stores beginning next week and set to continue for ten to 14 weeks."

In addition, the company obtained the court's approval to undertake a sale and investment solicitation process (SISP), which allowed it to look for potential buyers or parties that would evince interest to invest in its business, assets and leases.

Sears Canada said in a statement: “Sears Canada received and implemented going concern transactions for various lines of business, but following exhaustive efforts, no viable transaction for the company to continue as a going concern was received.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“Accordingly, Sears Canada, with the recommendation of its advisors and approval of the monitor, FTI Consulting Inc, is seeking an order to commence a liquidation that would result in a wind-down of its business following court approval.”