Tommy Tisch just made a bold statement in support of Sears and its chairman, Eddie Lampert — the kind that comes with a dollar sign attached.
The New York tycoon — a longtime Sears director and investor in Lampert’s hedge fund ESL Investments — shelled out nearly $16 million this week to scoop up 475,000 shares of the struggling retailer.
News of the fresh stock buy, which brings Tisch’s total holdings to more than 3.7 million shares, sent Sears’ stock soaring 14 percent Thursday, to close at $38.33.
That netted a quick paper profit for Tisch, who bought 375,000 shares on Tuesday at $33.60 and another 100,000 shares Wednesday at $33.40, according to securities filings.
Tisch’s investment is a vote of confidence in Lampert, who increasingly has come under fire for slashing spending at Sears and Kmart, resulting in run-down stores that have alienated shoppers, tanked sales and widened losses.
The retailer reported a hefty loss for the fourth quarter as sales dropped 14 percent. While Lampert has pinned turnaround hopes to online initiatives, analysts estimate the Web accounts for less than 3 percent of Sears’ business.
Tisch’s involvement with the retailer dates back more than a decade, when he served on the board of Kmart before Lampert merged it with Sears.
Like Lampert, Tisch also is an outspoken conservative, and serves on the board of the Manhattan Institute, a right-wing think tank that advocates smaller government and free-market ideals.