Staff
The Ontario Teachers’ Pension Plan will provide the Hudson’s Bay Company (HBC) with US$500 million ($513.6 million) of equity funding to support the retailer’s purchase of Saks.
In consideration for Teachers’ commitment, HBC has issued 1.5 million share purchase warrants to Teachers’ and will issue an additional 3.5 million share purchase warrants to Teachers’ once the deal closes.
The subscription price of the common shares and the exercise price of the warrants will be C$17 per share, which is a premium to HBC’s trading price before the deal was announced.
HBC announced on Monday that it would buy American retailer Saks for US$2.9 billion ($2.98 billion), including debt.
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