March 14 (Reuters) - Eddie Lampert-controlled Sears Holdings Corp said on Friday its board approved the spin off on April 4 of its Lands' End clothing business.
The deal, which was announced in December, will make Lands' End an independent, publicly traded company on the Nasdaq stock exchange under the symbol LE.
Lands' End sells casual clothing, accessories, footwear, and home products online, through catalogs and in stores.
Sears stockholders on record as of March 24 will receive about 0.3 shares of Lands' End common stock for each share of Sears they own.
Lands' End is the latest asset that Sears has shed as it struggles with mounting operating losses and declining sales
Sears spun off its Orchard Supply Hardware Stores unit in 2011 and its Sears Hometown and Outlet business in 2012. The company continues to operate its Sears department stores and the Kmart discount chain.
Lands' End will pay a $500 million dividend to Sears before the spin-off financed by a new senior secured term loan. Lands' End may also borrow up to $175 million for working capital through an asset-based senior secured revolving credit facility, Sears said.