Advance Auto Parts is buying Sears’ DieHard model, recognized for its automobile batteries, for $200 million in money, CNBC has discovered.
Below a provide settlement, Sears and Kmart proprietor Transformco will nonetheless have the rights to promote some DieHard gadgets in Sears shops, Advance Chief Government Officer Tom Greco instructed CNBC in a cellphone interview. Advance Auto Components can even give Transformco an “unique royalty-free, perpetual license” to develop and market DieHard merchandise in different nonautomotive classes.
The deal additionally supplies Sears and Kmart with much-needed money. The retailers have been attempting to turnaround their companies since submitting for chapter in 2018, however they seem like going through a number of the similar struggles that they had seen earlier than the Chapter 11 submitting. In November, Sears had secured an additional $250 million lifeline from lenders that included Eddie Lampert.
Greco mentioned Advance began to have conversations with Transformco in the midst of this 12 months.
“We’ve got been wanting on the…