Target To Enter Canada

For one big retailer, the moving target is heading north. Target Corp. said Thursday that it entered into an agreement with Zellers Inc. that would allow it to open 100 to 150 stores throughout Canada in 2013 and 2014.

The Minneapolis-based retailer said it would pay Zellers, a subsidiary of the Hudson’s Bay Company, $1.83 billion Canadian dollars, or $1.85 billion at current exchange, to buy 220 leases.

“This transaction provides an outstanding opportunity for us to extend our Target brand, Target stores and superior shopping experience beyond the United States for the first time in our company’s history,” said chairman, president and chief executive officer Gregg Steinhafel.

According to the company, which expects its first Canadian stores to open in 2013, the renovation of the leased sites will result in an aggregate investment of more than C$1 billion.