A customers enters the Sears store in North Vancouver, British Columbia February 23, 2011. Retailer Sears Canada Inc posted a 28 percent drop in its quarterly profit,  hurt in part by lower demand for appliances.  REUTERS/Andy Clark    (CANADA - Tags: BUSINESS)

A customers enters the Sears store in North Vancouver, British Columbia February 23, 2011. Retailer Sears Canada Inc posted a 28 percent drop in its quarterly profit, hurt in part by lower demand for appliances. REUTERS/Andy Clark (CANADA - Tags:... BUSINESS) (Reuters)

Report: Sears Seeks Sale of Lands' End

By Retail FOXBusiness

Strapped for cash, struggling Sears Holdings (SHLD) is reportedly contemplating a sale of its mail-order catalog Lands’ End as the retailer looks to raise as much as $2 billion.

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According to the New York Post, Sears has quietly approached a handful of private-equity firms about their interest in the Dodgeville, Wis.-based business.

Hit by slumping sales, Sears suffered a $3.1 billion loss last year, prompting the company to disclose plans to raise $750 million by selling 11 stores and spinning off others.

Lampert, who acquired Sears in 2005, is likely to hire Wall Street heavyweight Goldman Sachs (GS) to find a buyer for Lands’ End, the Post reported.

Sears acquired Lands’ End in 2002 under then-CEO Alan Lacy for $1.86 billion.

Lamp would like to find a buyer who would license Lands’ End to Sears, freeing the company up to explore growth in other areas like Europe, the paper reported.

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Shareholders cheered the Lands’ End news, bidding shares of Sears 4.15% higher to $71.85 ahead of Thursday’s open. After taking a beating in the second half of last year, Sears has been among the best performers this year, skyrocketing almost 120% so far in 2012.

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