Sears Holdings is seeking the bankruptcy court’s approval to accept a $60 million “stalking horse” bid for its Sears Home Improvement business (SHIP). If the court approves the bid from Service.com, it would provide a floor price at the bankruptcy auction for the first Sears asset to be sold.
Service.com is a web site that helps consumers find local home improvement professionals. SHIP is a unit of the Sears Home Services division that makes more than 7 million repairs annually and employs thousands of technicians nationwide, according to its web site. An auction date of Dec. 13 has been proposed, subject to approval by the U.S. District Bankruptcy Court in White Plains, N.Y.Interested parties would have until Dec. 11 to match the Service.com bid.
“The sale of SHIP is an important step for Sears Holdings as we continue working to achieve a comprehensive restructuring,” said Robert Riecker, CFO of Sears Holdings and a member of the Office of the Chief Executive. “We look forward to completing this process expeditiously so that we can maximize the value of SHIP and ensure a seamless transition for all of our stakeholders.”
The stalking horse bid comes as Sears prepares to sell its approximately 400 most viable stores along with other assets, according to the Wall Street Journal. The retailer declared bankruptcy after a long period of decline on Oct. 15, 2018.