Judge rejects Hudson's Bay restructuring proposal intended to save remaining stores | CBC News
Briefly

An Ontario judge recently rejected a restructuring agreement for the Hudson's Bay Company, which raises the potential for lenders to push for receivership. Justice Peter Osborne argued that the agreement was neither necessary nor appropriate, particularly because it would have limited stakeholder involvement and favored senior lenders too heavily. The agreement mandated a strict budget that the retailer would need to adhere to, providing lenders with significant control over the process. This decision comes amid ongoing liquidation efforts as the company faces extensive debt and attempts to protect its interests and stakeholders in these challenging circumstances.
Justice Peter Osborne expressed his reluctance to approve the restructuring agreement, highlighting that it was neither necessary nor appropriate due to a lack of transparency for stakeholders.
The rejected agreement would have enhanced lender control over Hudson's Bay Company during its creditor protection process, severely limiting other stakeholders' roles and protections.
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