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🚫🛍️In Non-Retail related news, HBC has acquired Neiman Marcus. Ok.. possibly 0.01% Retail Related. This was the 🔥 topic of the latest RCA Retail Therapy Session brilliantly hosted by our industry therapist Andrew Smith. 🛋️ Oh.. I had a lot to say on this.. using choice words and even censoring myself on mute not to further offend any sensitive ears (and give Fritz Finlay that much more editing work). 🔇 First time sharing a🎙️with Neil Saunders who (as expected) brought the relevant data and insights plus dear friend Brandon Rael with wise words to counterbalance some of my explicits 🤬. This deal is potentially one foot in the grave 🪦 for the company that played a big role in the creation of my nation 🇨🇦 and the longest running corporation in the Americas (354 years). Exhibit A: Rebranding this HBC acquisition as "Saks Global", yet the only non US operation (the actual HBC) is carved out of the deal ⁉️🌎 The most fascinating part of this deal is the speculation about the roles Amazon and Salesforce can play (even though IMO this is still 99.99% a Real Estate deal). 🛜 One potential upside 🌞? Carving out the Canadian Assets could open the door to new ownership more focused on reinvesting in Hudson Bay's success. 📈
Btw, getting FTC is far from done here. Further complicated by having Amazon in the deal + Saks Global layoffs from consolidation. h ttps://wwd.com/business-news/mergers-acquisitions/saks-neiman-marcus-amazon-ftc-challenge-1236493744/
Hmm. Let the Real Estate games begin. Once the shuffle board in stores that makes revenue vs ones that lose revenue is done, it will be interesting to see what Real Estate is available for investors to buy. It just makes sense to sell off and recoup some of the cost of the purchase. The hope is that money is reinvested back into the business but I wouldn't be surprised if it is not. Eddie Lambert and Sears is an example that no one wants to be reminded of. Just a thought.
Agreed. These are my sentiments, exactly, Carl Boutet, and what I have been saying since the news broke. And, yes, HBC has had its left foot in the grave for some years, now. Will watch closely to see what happens during the weeks and months after the NM deal.
Next go I would suggest adding someone from Green Street or Shlomo Chopp to take a hard cold look at the commercial real estate that may be the only asset of note to a real-estate company such as... oh NRDC Equity Partners
I’m interested in learning more about your Retail Therapy Sessions Andrew Smith . Thanks for sharing Carl Boutet !
Retail Prescriptor 🎯 Marketing Educator 🤓 Global Strategist 🌏 Board Member & Advisor 📈
3moI was extra prepared for this one with my history book of HBC and 25 years of HBC service gold watch (weren't those the days!) Most won't be familiar with their deep history that launched the global fur trade 🦫, helped create the first national railway 🚂 that instigated our country and the first bank.. plus at one time the largest commercial empire.. I'm the first to spread "the only constant is change" gospel.. this one just hits different for me.