Sears, the retailers who got bankrupt recently made an announcement that it is looking for the permission to sell off its home improvement section to the primary rival contender who is somehow part of its downfall.
The approval is in pending state from the trustee, for selling the business to Service.com, a service like Air-BnB that assists the property owners to find the contractors. They have asked for $60 Million for the deal.
The home service division of Sears is among the most valuable part of the retailers, so the initial price shows that how far the company has fallen that one point of time has 302K staff merely a decade ago.
In the early part of this year, Sears still had some plans for the service segment, which provides handyman and cleaning services. Dissimilar to the retail division, the home service division needs not to compete with contenders like Amazon or any other retailers.
However, Sears hope that it can take leverage of its name and providing services to the customers for setting up smart home devices. It means the company will send the technicians to help tech-illiterate folks.
Mitch Bowling, the CEO, Home Service Division, Sears, in February told CNBC that, “in the space of Smart Home there is not a single service provider that has everything under one roof.” It is generally a collection of products from various service providers and we all wish for the trusted advisor in all that space.
However, now it looks like all these grand plans are no more, as Sears desperately requires to raise the capital for surviving. The company is looking for the approval from the court for selling the stalking horse, in which a bankrupt candidate essentially tests the market segment for the assets before the auction. If there will be no other buyer, Service.com will acquire it.