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Lord & Taylor, one of the most iconic department stores in America, is being acquired by a clothing rental company

Aug 28, 2019, 19:09 IST

Mark Lennihan / AP Images

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Fashion subscription service Le Tote has acquired luxury department store chain Lord & Taylor for $75 million. Also included in the deal is a secured promissory note for $25 million after two years.

As part of the agreement with Hudson's Bay Company, Lord & Taylor's parent company, Le Tote will now effectively operate all remaining 38 stores and online businesses.

"Following an extensive review of strategic alternatives, Le Tote's leadership and innovative approach is the best path forward for Lord + Taylor, its loyal customers and dedicated associates," Helena Foules, CEO of Hudson's Bay, said in a press statement. "For HBC, this transaction builds upon our previous bold actions, further enabling us to focus on our greatest opportunities, Saks Fifth Avenue and Hudson's Bay."

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