Walmart picks up 39 Zellers sites from Target

Walmart Canada says it has signed a deal with Target Canada to assume leases at up to 39 sites currently operated by Zellers Inc.

Terms of the deal were not disclosed.

Target signed a deal earlier this year to take over up to 220 Zellers locations from Hudson's Bay Co. for $1.825 billion.

Target announced the first 105 Zellers locations that it plans to convert to Target stores last month in conjunction with an initial payment.

The U.S.-based retailer is expected to continue to select additional locations before it makes a second payment in the fall.

Zellers locations that Target acquires, but does not convert to its banner, are expected to be leased back to Zellers or potentially other retailers.