Hudson’s Bay to sell name, stripes, and brands to Canadian Tire for $30 million

Historic deal reshapes Canadian retail branding and signals a shift in Hudson’s Bay’s long-term strategy.

In a move that is sending ripples across the Canadian retail and brand landscape, Hudson’s Bay Company (HBC) has announced the sale of its intellectual property rights—including its historic name, the multicolored “point blanket” stripes, and related brand assets—to Canadian Tire Corporation for CAD 30 million.

This deal is not just a financial transaction. It is a convergence of two of Canada’s most iconic legacy companies—Hudson’s Bay, the oldest commercial corporation in North America, and Canadian Tire, the dominant homegrown retail force with a coast-to-coast presence. The transaction represents a strategic brand repositioning for both companies and raises important questions about the evolving role of heritage in retail.

What’s in the deal?

The $30 million agreement gives Canadian Tire Corporation (CTC) the rights to:

• The Hudson’s Bay name, but only outside of retail store operations.
• The four-stripe color pattern (green, red, yellow, and indigo) which has adorned the iconic Hudson’s Bay point blanket since the 18th century.
• Related branding and design IP associated with the Hudson’s Bay legacy, specifically tied to product licensing and consumer goods.
• Potential rights to develop co-branded merchandise across its own retail formats.

Meanwhile, HBC retains the right to use its name and branding within its own stores and online platforms via a licensing arrangement with Canadian Tire. This allows HBC to maintain retail continuity while shedding the operational burdens and long-term liabilities associated with broader brand management.

Why is Hudson’s Bay selling?

The move reflects a deeper strategic pivot within HBC. Over the past decade, the company has been undergoing a transformation from a traditional department store operator to a hybrid real estate and digital commerce company. It spun off its retail banners and merged or sold off multiple holdings (including Lord & Taylor in the US) while doubling down on its property portfolio through HBC Properties and Investments (HBCPI).

Analysts suggest this sale reflects the reality that while the Hudson’s Bay brand remains iconic, the retail business itself continues to struggle against e-commerce competitors, shifting consumer habits, and mall traffic declines.

“HBC is monetizing the strongest part of its legacy—its name—while attempting to focus on the future of the business, which may lie more in real estate than retail,” said retail analyst Jordan Hurst of PrairieEdge Advisory.

This IP divestiture offers HBC a capital injection, reduces brand management overhead, and allows it to pivot faster toward asset-light operations focused on digital growth and real estate yield.

What’s in it for Canadian Tire?

For Canadian Tire, this acquisition is a strategic brand play with both symbolic and commercial potential.

The company plans to incorporate the Hudson’s Bay name and iconic stripes into select product lines, particularly in home goods, textiles, outdoor gear, and heritage apparel—categories where Canadian Tire has been expanding through its various banners (e.g., Mark’s, SportChek, and Atmosphere).

There’s also the emotional resonance. For many Canadians, Hudson’s Bay represents tradition, nostalgia, and national identity. Leveraging that goodwill could help Canadian Tire reinforce its own image as a trusted Canadian retailer—especially as it competes with international players like Amazon, Walmart, and Decathlon.

“Canadian Tire isn’t just buying a name—it’s acquiring cultural capital,” said Joanne Maclean, professor of marketing at Queen’s University. “That four-stripe motif is instantly recognizable. It evokes trust, warmth, and legacy. These are intangible assets with long-term brand value.”

Canadian Tire’s leadership noted that the company intends to treat the brand with respect, ensuring any new product lines reflect the heritage and quality associated with Hudson’s Bay. This opens the door to high-margin heritage collections and potential collaborations with Indigenous designers and Canadian artisans.

Broader industry implication

This transaction is the latest in a growing trend of IP monetization in the retail sector. As legacy retailers face shrinking margins and fierce competition, many are separating brands from operations to extract value from their intellectual property.

Other similar moves include:

• Sears Holdings selling the Kenmore and Craftsman brands,
• Lord & Taylor’s brand revival via licensing deals after being sold off,
• And even Barneys New York, whose brand was acquired by Authentic Brands Group and is now licensed globally.

These deals illustrate how heritage brands, even in decline, retain immense symbolic value, which can be leveraged across newer platforms and consumer channels.

What comes next?

With the transaction expected to close by the end of 2025, Canadian Tire is likely already developing its first wave of Hudson’s Bay-branded consumer goods. If early reactions are any indicator, expect:

• Home décor and soft goods featuring the iconic stripes on blankets, pillows, and seasonal collections;
• Collaborations with Canadian designers that blend modern style with legacy branding;
• And possible exclusive launches in Canadian Tire-owned banners such as Mark’s and Atmosphere.

For HBC, the immediate future is less about retail expansion and more about refining operations and maximizing value from its extensive property portfolio, which includes marquee locations in Toronto, Vancouver, and Montreal.

Final thoughts

The sale of the Hudson’s Bay name and iconic stripes is both a poignant and pragmatic move. It marks the end of one era—and potentially the beginning of another, where Canadian identity is commercialized not through flagship stores but through heritage-branded goods sold across broader, more profitable platforms.

For consumers, it’s a reminder that in modern retail, brands often outlive the stores they came from—and that the emotional power of legacy, when wielded thoughtfully, can become a potent commercial asset.

← Back to IP Knowledge Hub