if he did would he have to sort out the pension deficit and the corporate debt prior to going private?
thoughts on whats stopping him from doing it? (apart from the fact he knows its a dog)
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Regardless of it being public or private. It is still bleeding red ink. Despite some stores having value beyond their original leases. Lots of stores if closed will sit vacant without any re-leasing. Bottom line, Sears will go BK in the not too distant future.
The combined stake is likely to cost 1b for shares not held directly by eddie and bought at a reasonable premium for such a deal to go through.
It won't happen. Owning stock is lost money at this point, and he knows it. He'll be taking action to minimize his loses, not increase them.
Why he would own 100% of the losses not just 50% like today. He needs s---er Sears investors to scam and to buy debt and spin offs too.
Thanks- can you elaborate on the $1 billion of cash to buy out their funds- I thought eddies fund esl investments was worth $1.3 billion or do you mean bruce and eddies combined stake in Sears is worth $1 billion?
I have been informed that in order to go private, both Eddie and Bruce's fund would have to be bought out, as their funds do not allow for private ownership. This would require about 1 billion of cash, and it will become worthless at the time of bk. Note that Eddie is buying secured debt under favorable terms right now.
It is always possible, but highly unlikely at this time.