AuctionsMay 06, 2025
Harwell Godfrey Reimagines 10-Carat Blue Diamond for Met Gala-Ready BroochDesigner Lauren Harwell Godfrey made the piece as an homage to the 2025 gala’s theme, “Superfine: Tailoring Black Style.”
MajorsAug 29, 2019
Clothing Rental Service Plans to Acquire Lord & Taylor
Le Tote will keep the retailer’s 38 locations open for now, but redevelopment may be on the table in 2021.
The flagship Lord & Taylor store on Manhattan’s Fifth Avenue was sold to WeWork earlier this year. The Hudson’s Bay Co.-owned department store chain is in the process of being acquired by Le Tote, a company that rents out women’s clothing and accessories.
Toronto—Hudson’s Bay Co. has agreed to sell Lord & Taylor to clothing rental subscription service Le Tote for 99.5 million Canadian dollars ($100 million), the company announced Wednesday morning.
Lord & Taylor’s 38 locations will remain open, with Le Tote assuming responsibility for the operations and extending employment offers to the “vast majority” of associates.
“Following an extensive review of strategic alternatives, Le Tote’s leadership and innovative approach is the best path forward for Lord & Taylor, its loyal customers and dedicated associates,” HBC CEO Helena Foulkes said in a statement.
The Toronto-based company’s portfolio also includes retailers Hudson’s Bay, Saks Fifth Avenue and Saks Off 5th.
As per the terms of the deal, Le Tote will also acquire Lord & Taylor’s brands, intellectual property, digital channels and inventory.
Le Tote, founded in 2012, rents out women’s clothing and accessories for a flat monthly fee, with the option to then purchase them at a discount.
The company has notable backers, including venture capital firm Andreessen Horowitz and Google Ventures, and has partnered with brands like Calvin Klein, Kate Spade, Rebecca Minkoff and Vince Camuto.
Le Tote will pay CA$99.5 million ($75 million) in cash upon closing the deal and a secured promissory note of CA$33.2 million ($25 million), which is payable in cash after two years.
The company is still working on securing financing for the full purchase price but expects to close before the start of the 2019 holiday season.
If Le Tote can’t raise the money within 45 days of signing, HBC can terminate the agreement.
Hudson’s Bay will receive an equity stake in Le Tote and certain minority shareholder rights as well as two seats on its board.
HBC and its real estate joint venture, HBS Global Properties, will retain ownership of all Lord & Taylor-related owned and ground-leased property. The company will continue to pay the rent for the next three years; it expects to be liable for approximately $58 million in Lord & Taylor rent on an annual basis.
In 2021, the two companies can reassess the store network and discuss the best use of the locations, including the possibility of redeveloping the stores into mixed-use properties.
HBC has hired a team to focus on the potential redevelopment plans.
It will be responsible for the long-term rents and costs for redevelopment for any returned or recaptured stores. (A recapture clause refers to a stipulation in a contract that allows the seller of an asset
to take it back under certain conditions.)
HBC sold Lord & Taylor’s flagship store on New York’s Fifth Avenue to WeWork earlier this year.
Lord & Taylor’s fiscal 2018 sales accounted for $1.4 billion of HBC’s $9.4 billion in retail sales, but HBC’s balance sheet reflects a $119 million loss attributable to Lord & Taylor, inclusive of allocated corporate expenses.
PJ Solomon acted as financial advisor to HBC and Willkie Farr & Gallagher LLP acted as its legal advisor. Le Tote was advised by Citi, as its financial advisor, and Kirkland & Ellis LLP, as its legal advisor.
HBC sold Lord & Taylor’s flagship store on New York’s Fifth Avenue to WeWork earlier this year.
Lord & Taylor’s fiscal 2018 sales accounted for $1.4 billion of HBC’s $9.4 billion in retail sales, but HBC’s balance sheet reflects a $119 million loss attributable to Lord & Taylor, inclusive of allocated corporate expenses.
PJ Solomon acted as financial advisor to HBC and Willkie Farr & Gallagher LLP acted as its legal advisor. Le Tote was advised by Citi, as its financial advisor, and Kirkland & Ellis LLP, as its legal advisor.
More on Majors
The Latest
Events & AwardsMay 06, 2025
Here’s Who Made Jewelers of America’s New ‘20 Under 40’ ListExpanded this year to include suppliers, JA’s 2025 list honors 40 up-and-coming professionals in the jewelry industry.
IndependentsMay 06, 2025
Sissy's Log Cabin Opens New StoreLocated in Fort Smith, it’s the Mid-South jeweler’s first store in Northwest Arkansas.
Brought to you by
Las Vegas Antique Jewelry & Watch Show: Showcasing the Most Collectible Merchandise from Across the GlobeGain access to the most exclusive and coveted antique pieces from trusted dealers during Las Vegas Jewelry Week.
IndependentsMay 06, 2025
Gunderson’s Jewelers to Be Featured on ‘World’s Greatest’ TV SeriesThe episode about the family-owned jeweler will premiere May 17.
Weekly QuizMay 01, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
IndependentsMay 05, 2025
Zadok Jewelers Opens Store in AustinThe Houston-based jeweler’s new 11,000-square-foot showroom will include a Rolex boutique.
AuctionsMay 05, 2025
Nancy Astor’s Cartier Tiara Heads to AuctionThe turquoise and diamond tiara hasn’t been on the market since it was purchased by Lord Astor in 1930.
Brought to you by
Watch: The Winston Red: GIA Examines the Smithsonian’s Newest AdditionSupplier Spotlight Sponsored by GIA
SourcingMay 05, 2025
Crater of Diamonds Yields 4-Carat Brown Diamond“The Duke Diamond” is the largest diamond registered at the Arkansas park so far this year.
TrendsMay 02, 2025
Ring Concierge, Kraft Partner on Mother’s Day Macaroni Necklace The childhood craft of making dried pasta necklaces for Mother’s Day is all grown up as the 14-karat gold “Forever Macaroni” necklace.
CollectionsMay 02, 2025
Piece of the Week: Angely Martinez’s Emerald Promise RingSet with May’s birthstone and featuring an earthworm, this ring is a perfect celebration of spring.
SourcingMay 01, 2025
Tariffs & Colored Gemstones: Relying on Stock, Considering the Ripple EffectThough currently paused, high tariffs threaten many countries where gemstones are mined. Dealers are taking measures now to prepare.
TrendsMay 01, 2025
Amanda’s Style File: 20 Pieces of Emerald Jewelry for MayMay babies are lucky indeed, born in a month awash with fresh colors and celebrated with one of the most coveted colored gemstones.
MajorsMay 01, 2025
Jewelers of America Opens Applications for 2025 ScholarshipsThe deadline to apply for the Seymour & Evelyn Holtzman Bench Scholarship is June 12.
SurveysApr 30, 2025
Consumer Confidence Hits Pandemic-Level Low Amid Tariff ConcernsWhat’s really worrying U.S. consumers isn’t the present situation; it’s what the economy is going to look like six months from now.
Events & AwardsApr 30, 2025
Instore Show Debuts New Name, Look, and FocusNow called The Instore Jewelry Show, it will include holiday-focused education, interactive workshops, and a window display contest.
SourcingApr 30, 2025
GemGuide Has a New Pricing Chart for Colombian EmeraldsIt includes pricing for unenhanced Colombian emeralds in the fine to extra fine range.
CollectionsApr 30, 2025
Tiffany & Co. Goes Deep-Sea Diving in New Blue BookThe “Sea of Wonder” collection features pieces inspired by the ocean, from its waves to flora and creatures like urchins and sea turtles.
AuctionsApr 29, 2025
‘Golconda Blue’ Diamond Pulled From AuctionThe 23-carat fancy vivid blue diamond, set to headline Christie’s May jewelry auction, was expected to sell for as much as $50 million.
IndependentsApr 29, 2025
Maryland Jeweler to Close After 36 YearsG.B. Heron Jewelers in Salisbury, Maryland, is set to close as its owner, Jeff Cassels, retires.
ColumnistsApr 29, 2025
Google Ads vs. Social Media Ads: Which Are More Effective?Emmanuel Raheb outlines the differences between the two platforms and posits that the most successful jewelers use both.
SourcingApr 29, 2025
Gemfields Mini Ruby Auction Achieves $7MThe miner said its April sale featured a mix of commercial-quality primary rubies and secondary rubies of varying quality.
CrimeApr 28, 2025
Customs Seizes Nearly 2,000 Pieces of Counterfeit Van Cleef & Arpels JewelryU.S. customs agents in El Paso, Texas, intercepted the package, which would have been worth $9 million if the jewelry was genuine.
TrendsApr 28, 2025
Suzanne Kalan Launches Tech Ring Jacket CollectionHealth monitors become statement pieces when paired with the brand’s new collection of stackable diamond-studded bands.
Events & AwardsApr 28, 2025
JCK Industry Fund Announces 2025 Grant RecipientsTen organizations were selected this year.
IndependentsApr 28, 2025
John Atencio Appoints 2 to Wholesale TeamKim Carpenter and Sam Gevisenheit have joined the brand.
CollectionsApr 25, 2025
Sylvie Looks to Water in New Sculptural Bridal Collection“Shell Auranova” is the next generation of the brand’s bridal line, featuring half-bezel engagement rings with bold and fluid designs.
