Sears considering acquisition of Restoration Hardware

Share this article:

Sears' purchase of a 13% stake in Restoration Hardware Inc. is an indication of a further upscale push from the mid-price retailer.

According to an SEC filing, Sears bought 3.4 million shares of the home furnishings retailer in November and is evaluating further moves. Earlier this month, Restoration Hardware announced a $267 million acquisition with Catterton Partners, which must still be approved by shareholders.

Multichannel expert Glenda Shasho-Jones, president of Shasho-Jones Direct Inc., said, “Sears didn't seem to nail it with Land's End.”

Sears acquired Land's End and opened in-store boutiques for the brand as a push into upscale apparel. Sears could see Restoration Hardware as its “upscale home furnishings vehicle,” Shasho-Jones added.

The question is whether Sears would open Restoration Hardware boutiques inside its stores or independently develop the brand which, unlike Land's End, already has a strong retail presence. A Sears spokesperson told DMNews that it had no comments outside of the filing.

This material may not be published, broadcast, rewritten or redistributed in any form without prior authorization. Your use of this website constitutes acceptance of Haymarket Media's Privacy Policy and Terms & Conditions