Minneapolis—Target Corporation has agreed to pay C$1.825 billion to purchase from Zellers Inc., a subsidiary of the Hudson’s Bay Company (HBC), the leasehold interests in up to 220 sites currently operated by Zellers Inc. This transaction will allow Target to open its first Target stores in Canada beginning in 2013.
“This transaction provides an outstanding opportunity for us to extend our Target brand, Target stores and superior shopping experience beyond the United States for the first time in our company’s history,” says Gregg Steinhafel, chairman, president and chief executive officer of Target Corporation.
Zellers Inc. will sublease the purchased sites from Target and continue to operate them under the Zellers banner for a period of time.
Target expects to open 100 to 150 Target stores throughout Canada in 2013 and 2014.
Minneapolis-based Target Corporation currently has 1,752 stores in 49 states within the U.S. and online at www.Target.com.