Canadian Tire to buy Hudson's Bay branding in $30 million deal

The Hudson's Bay Company (HBC) says a multi-million-dollar deal with Canadian Tire Corp. Ltd will give its brands a new home.

In a news release, Canadian Tire confirmed it entered into an agreement with HBC to purchase its "iconic Canadian brands and other intellectual property."

The $30 million sale includes the colourful HBC stripes, as well as its various company logos, coat of arms, designs, brands, and trademarks.

Canadian Tire Corporation's president and CEO, Greg Hicks, noted that the company is "honoured to welcome many of HBC's leading brands."

"This choice feels as strategic as it feels patriotic… The Stripes will add beautifully to our portfolio of owned brands alongside other Canadian favourites that we have fostered and grown, and The Bay and its brands have long been known for their strength in categories that our customers will seek in our stores and online," he added.

In March, HBC, the oldest company in North America and a Canadian retail institution, filed for creditor protection.

Initially, the company announced most of its retail locations across the country would close, except for select stores.

However, in late April HBC confirmed it would close the last six stores that had initially been exempt from the first round of closures, including the heritage flagship stores in downtown Toronto and downtown Montreal, as well as Yorkdale Shopping Centre in Toronto, Hillcrest Mall in Richmond Hill, CF Carrefour Laval mall, and CF Fairview Pointe-Claire mall.

All 74 Hudson's Bay department stores and three Saks Fifth Avenue locations are currently expected to continue until no later than Sunday, June 1, 2025.

"It's disheartening to witness the final days of another great Canadian retailer, and while the circumstances are unfortunate, we're proud to step in for customers. Ultimately, customers are at the core of all we do, and by Canadians' reaction to recent rumours of this news, it is clear they see us as a great home for HBC's heritage," stated Hicks.

Canadian Tire Corp. noted that the agreement is subject to court approval and is expected to be finalized later this summer.

The company added that it has separately bid to lease a "handful" of HBC locations.