Sears gets another $100M in Lampert cash for holiday season

Eddie Lampert is opening his wallet again to keep his Sears and Kmart chains afloat during the crucial holiday shopping season.

The hedge fund mogul, the largest shareholder and chief executive of Sears Holdings, which operates the two chains, is lending the company $100 million for “general corporate purposes,” according to a regulatory filing.

That brings to $499.4 million the total of Lampert’s outstanding loans to the money-losing chains.

The loans, from units of Lampert’s ESL Investments, carry an interest rate of 11 percent and are backed by mortgages of certain stores.

Lampert has also agreed to lend the struggling retailer an additional $100 million through between now and Dec. 1, if needed — if Sears holdings pledges additional real estate.

The existing loans are due April 3 and the newer loan on July 20, 2020, the filing said.

Shares of Sears Holdings, which also owns the Kmart chain, were up 3.1 percent at 11:24 a.m., to $7.41.

Source: http://nypost.com/2017/10/05/sears-gets-another-100m-in-lampert-cash-for-holiday-season/

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