Canada to Review Target Purchase of Zellers Assets

The Canadian government said it will review Target Corp. (TGT)’s C$1.83 billion ($1.84 billion) purchase of store leases from Zellers Inc. under a “cultural heritage” provision in the nation’s foreign-takeover law.

The government said in an order posted on the Privy Council Office website that it will review the acquisition under a section of the law that relates to Canada’s “cultural heritage or national identity.”

“The government is committed to ensuring that foreign investments benefit Canadians,” said James Maunder, a spokesman for Heritage Minister James Moore who recommended the review. “We will review Target’s proposal and make an announcement in due course,” Maunder said by e-mail.

To contact the reporter on this story: Andrew Mayeda in Ottawa at amayeda@bloomberg.net

To contact the editor responsible for this story: Paul Badertscher at pbadertscher@bloomberg.net

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