WILMINGTON, Del., Sept. 18, 2014 (GLOBE NEWSWIRE) -- Andrews & Springer LLC, a boutique securities class action law firm focused on representing shareholders nationwide, is investigating the Board of Directors of Sears Holdings Corporation ("Sears" or the "Company") for possible violations of securities laws relating to the Company's recent announcement concerning a $400 million loan from affiliates of Sears' Chief Executive Officer Edward Lampert.
On September 15, 2014, Sears revealed that the Company has entered into a $400 million short-term loan (the "Loan") with affiliates of Sears CEO Edward Lampert and his hedge fund, ESL Investments. ESL Investments, whose sole stockholder is Lampert, controls 24.8% of Sears' common stock. Lampert, individually, controls an additional 23.7% of Sears' common stock. The terms of the Loan are harmful to Sears shareholders and creates a significant conflict of interest. The Loan is secured by 25 undisclosed Sears properties as collateral and gives Lampert the option to swap out less valuable stores. As noted by Yahoo! Finance, the Loan values each store at just $16 million, a steep discount to the $20 million to $50 million Sears has been selling its stores to other retailers and investors. As a result of this news, Sears' share price fell more than 9.3% the day after the news was announced.
If you own shares of Sears and want to receive additional information and protect your investments free of charge, please visit us at http://www.andrewsspringer.com/cases-investigations/sears or contact Craig J. Springer, Esq. at cspringer@andrewsspringer.com, or call toll free at 1-800-423-6013. You may also follow us on LinkedIn – www.linkedin.com/company/andrews-&-springer-llc, Twitter – www.twitter.com/AndrewsSpringer or Facebook - www.facebook.com/AndrewsSpringer for future updates.
Andrews & Springer is a boutique securities class action law firm representing shareholders nationwide who are victims of securities fraud, breaches of fiduciary duty or corporate misconduct. Having formerly defended some of the largest financial institutions in the world, our founding members use their valuable knowledge, experience, and superior skill for the sole purpose of achieving positive results for investors. These traits are the hallmarks of our innovative approach to each case our Firm decides to prosecute. For more information please visit our website at www.andrewsspringer.com. This notice may constitute Attorney Advertising.