Canadian retailer Hudson’s Bay co. has recently said that it will acquire U.S. based luxury retailer Saks Inc. for $2.9 billion dollars.

The Bay has said that it plans to keep the two brands as separate entities, but as consumers you’ll start seeing Saks brands at HBC stores after the deal goes through.

“This exciting portfolio of three iconic brands creates one of North America’s premier fashion retailers,” said Richard Baker, HBC’s chairman and chief executive.

“This acquisition will increase our growth potential both in the U.S. and Canada, generate significant efficiencies of scale, add to our powerful real estate portfolio and deliver substantial value to our shareholders.”

Saks has 42 stores, including it’s most famous – Sakfs Fith Avenue in New York City. Combined the company will have 320 stores including 179 full-line department stores and about $7.2 billion of sales annually.

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