Sears has transferred ownership of its DieHard brand to Advance Auto Parts, in a deal worth $200 million.

In a bid to transform and streamline its operations, the newly formed Sears - owned by former CEO Eddie Lampert - has revealed it is considering the sale of various assets, according to a report by The Wall Street Journal.

The company, which took control of the remaining Sears and Kmart stores after Lampert's purchase, has already made some significant moves. Sears Hometown, a spin-off under Lampert, is being acquired by the new Sears. Furthermore, the DieHard battery brand, a symbol of Sears' reputation, has been sold to Advance Auto Parts for $200 million.

Advance Auto Parts CEO Tom Greco has expressed his admiration for the DieHard brand's reputation and sees potential to extend it into other automotive categories. However, there are also plans to explore non-automotive categories such as sporting goods, lawn and garden, and work wear.

The sale includes a supply agreement that allows Sears to continue selling the DieHard brand in its existing channels. Sears has also obtained an exclusive, royalty-free, perpetual license to develop and sell DieHard branded products in non-automotive categories.

The new Sears is also reportedly working with investment and financial services firm Guggenheim Partners to advise it on potential sales. As part of this process, the company has received inquiries from prospective buyers.

Despite these moves, the new Sears is facing challenges. It is reportedly closing more than 100 stores by the end of the year, leaving about 300 stores in the U.S. as of the end of 2021, down from about 12 times that number a decade ago.

The company is also not new to legal disputes, with Sears Holdings having sued and been sued by the new Sears. In 2018, Sears Holdings filed for bankruptcy and subsequently, its assets were bought mostly by Transform Holdco LLC, a company affiliated with ESL Investments, in early 2019.

A Sears spokesperson declined to comment on the Wall Street Journal report, but it is clear that the company is making significant changes as it navigates its way forward. Lampert, who offered Sears Holdings $400 million for the Kenmore brand before the bankruptcy, remains involved as owner-chairman, borrowing money to support the new Sears' operations.

As the new Sears continues to reshape itself, it will be interesting to see what other assets may be up for sale and how the company will adapt to the changing retail landscape.

Sears has transferred ownership of its DieHard brand to Advance Auto Parts, in a deal worth $200 million.