The same firm that owns Lord & Taylor and Hudson’s Bay will add Saks to its portfolio. Hudson’s Bay Company will acquire the vaulted luxury label for $2.4 billion. The deal announced on Monday on the business blog of the New York Times is still trickling in, as the original story was updated this morning.
Saks drew attention from various investors because the label is so well received by the affluent crowd. While it mired like so many others during the economic crumbling of 2008, Saks is back and business is booming. The label is receiving worldwide interest, including emerging markets such as Brazil, Russia, the Middle East, India, and, most notably, China.
What is in store for the famous deluxe retail store? The New York Times reports that….
….With the acquisition, Mr. [Richard] Baker [the owner of Hudson’s Bay] says he plans to push the Saks brand into Canada, where there is only one luxury department store chain, Holt Renfrew. “There’s certainly room for a little competition up there,” Mr. Baker said. Canadian Saks stores will be “on the luxurious side of the U.S. Saks stores,” he said.