HOFFMAN ESTATES, Ill.—Sears Holdings’ board of directors has voted to spin off the Lands’ End business.
The Sears/Kmart parent will distribute all of the outstanding shares of common stock of Lands’ End on a pro rata basis to holders of Sears Holdings common stock, according to a company statement. The distribution is expected to be completed on April 4.
In the distribution, Sears Holdings stockholders will receive 0.300795 shares of Lands’ End common stock for each share of Sears Holdings common stock held as of 5:30 p.m. Eastern time on March 24.
Following the spin-off, Lands’ End will be a publicly traded company independent of Sears Holdings. The latter won’t retain any Lands’ End stock.