The collapse of Hudson's Bay Company (HBC), Canada's oldest company, has progressed from store closures to court hearings aimed at determining the fate of its assets, which include leases, artworks, historical artifacts, and its royal charter. This ongoing saga illustrates the challenges faced by a once-iconic retailer as it navigates liquidation and asset sales.
Timeline of Events:
On March 7, 2025, HBC officially filed for creditor protection with the Ontario Superior Court. Shortly after, on March 23, 2025, Ruby Liu, a B.C. mall owner, expressed interest in acquiring HBC's trademarks and properties. By March 24, 2025, the company announced its decision to liquidate all but six of its stores, marking a significant downsizing.
As the situation developed, on April 24, 2025, the court granted HBC permission to explore auctioning its royal charter alongside approximately 4,400 pieces of art and artifacts. The very next day, April 25, 2025, HBC began liquidating its remaining six stores, a move seen as a final retreat. On May 15, 2025, HBC revealed that Canadian Tire had agreed to pay $30 million for its intellectual property, including the trademarked HBC name, its distinctive stripes, and its coat of arms.
Progressing through the timeline, HBC announced on May 23, 2025, that it had struck a deal to sell up to 28 of its store leases to Liu, who aimed to launch a modern department store concept. However, by June 1, 2025, HBC had closed all of its stores entirely. This closure was followed by legal developments: on June 3, 2025, a court approved the sale of HBC's trademarks to Canadian Tire and initiated receivership for a joint real estate venture with RioCan Real Estate Investment Trust.
In a notable turn of events, on June 6, 2025, former HBC employees filed a class-action lawsuit seeking a share of the retailer's pension surplus, which had been a legacy from Simpsons, a former competitor acquired by HBC in the 1970s. As legal battles unfolded, by June 19, 2025, court documents indicated that landlords at the properties Liu intended to occupy were resisting her takeover of HBC leases, illustrating the complexities involved in asset transfers.
On June 23, 2025, HBC received court approval to sell Liu three of the 28 leases she sought, all located in malls she owned. Progress was made with Liu obtaining the key to the former Saks OFF 5th store on June 26, 2025, marking her initial possession of an HBC lease. However, troubles persisted when on July 8, 2025, HBC's lender, Restore Capital LLC, filed a court motion attempting to block the sale of up to 25 leases to Liu and requesting appointment of a "super monitor" to oversee the liquidation process.
Further challenging HBC’s plans, on July 29, 2025, HBC sought court intervention to compel landlords to allow Liu's lease takeover. Nonetheless, positive outcomes began to surface: on July 30, 2025, it was announced that the Canadian Museum of History disclosed Wittington Investments Ltd. was interested in purchasing the royal charter for $12.5 million for donation to a Quebec institution. This was followed by a successful court motion on July 31, 2025, granting permission to sell leases to YM Inc. and Ivanhoe Realties Inc.
The weeks that followed showcased an active auction atmosphere; on Sept. 25, 2025, a court allowed HBC to auction its art and artifacts, culminating in the live auction of 27 paintings on Nov. 19, 2025. Another central narrative involved the royal charter, with the Thomson and Weston families teaming up for an $18 million joint bid announced on Nov. 14, 2025. Their dedication to preserving the charter for historical institutions was evident when they later emerged as the winners of the auction.
Finally, on Dec. 11, 2025, an Ontario court granted HBC the approval to sell the royal charter to the Thomson and Weston family holding companies, signifying a pivotal resolution in a highly complex chapter for the storied retailer. The path HBC has ventured illustrates not only its decline but also the diverse interests surrounding its historical assets.
