Sears Holdings, which presently owns 54 percent of Sears Canada, is planning to buy the balance of outstanding shares of its northern namesake for $718.5 million in cash.

Following the transaction, which requires regulatory approval, the Canadian entity would become a wholly owned subsidiary of Sears Holdings.

In announcing the deal, Sears Holdings' vice chairman Alan Lacy noted that “Sears Canada will have a much greater opportunity to succeed with the benefits that will come with 100 percent ownership.”