The Hudson’s Bay Company has received court approval to begin liquidating all but six of its stores, beginning Monday.

The liquidation affects 74 Hudson’s Bay stores, along with three Saks Fifth Avenue and 13 Saks Off Fifth locations.

They have been temporarily removed from the process as the struggling iconic retailer explores potential restructuring options.

The Bay had planned to close all of its stores; however, court heard Friday that the chain received an unexpected revenue increase, enabling the six exempted outlets to remain in business at least for now.

As a result of an unexpected revenue surge, the retailer no longer requires additional emergency financing to carry out its sale process and has been able to repay an initial $16-million loan that it secured to remain operational.

The Bay, which has been under creditor protection since March 7, has also received court approval to seek buyers for all or part of the business, including its store leases. It has reached a restructuring-support agreement with its senior lenders, but Ontario Superior Court Justice Peter Osborne postponed consideration of the agreement until next week due to concerns over its late disclosure to other affected parties, The Globe and Mail reported.

From March 8 to 14, Hudson’s Bay reported nearly $21-million in sales, roughly $7.4-million more than expected, according to court documents. The retailer originally secured $16-million in debtor-in-possession (DIP) financing, later increasing it to $23-million. However, as customer demand surged, the company determined it no longer required the additional funds and received approval to repay the initial $16-million loan.

Despite the increase in sales, the fate of Canada’s oldest retailer remains uncertain. The liquidation plan, set to conclude by June 15, puts about 9,300 jobs at risk.

The retailer also announced that it now has sufficient funds to pay 70% of the rent owed to properties it co-owns through a joint-venture with RioCan REIT.

Discussions between Hudson’s Bay, landlords and lenders remain ongoing.

Justice Peter Osborne told the court that, in his view, there was no alternative than immediate approval of the liquidation, the Globe reported.

Hudson’s Bay is Canada’s oldest company, dating back to the fur trade era in 1670.

Pictured: Plaque on a Hudson’s Bay store in downtown Toronto.

Photo: ValeStock / Shutterstock.com