What: Hudson’s Bay Co. has made a bid for Kohl’s Corp.

Why is it important: Hudson’s Bay’s bid was reported to be above the USD 64 to USD 65 a share previously offered by other interested parties. The last-minute entering of Hudson’s Bay, sent shares of Kohl’s up 17.3% to USD 63.13, giving the company a market capitalization of USD 8.8 bn.

Hudson’s Bay would be interested in opening Kohl’s stores in Canada, and also possibly separating the Kohl’s brick-and-mortar store business and the kohls.com digital business into separate companies, similar to how HBC separated The Bay divisions into separate physical stores and dot-com businesses last year. They could also perceive value in Kohl’s real estate, and possibly sell off some locations and lease them back.

Hudson’s Bay bids for Kohl’s