TORONTO -- Catalyst Capital Group Inc. has extended a deadline for the board of Hudson's Bay Co. to formally accept its offer letter until 5 p.m. ET today.

The investment firm has made an unsolicited offer of $11 per share in cash for HBC, topping a friendly offer of $10.30 made by a group of investors led by HBC executive chairman Richard Baker.

Catalyst says it extended the deadline at the request of a special committee of the board at HBC because of what it called "indications of positive progress."

The special committee has said it would review the offer in consultation with its independent financial and legal advisers.

The Baker-led offer requires support from a majority of the HBC shareholders, excluding the shareholders behind the bid and their affiliates, as well as approval by a 75 per cent majority vote at a special meeting of shareholders.

Catalyst said in October that it and other minority shareholders that together control a 28.24 per cent stake of the company's common shares plan to vote against the offer by the Baker-led group.

"We have granted the extension requested by the HBC special committee based on indications of positive progress and we look forward to working with them to complete a transaction based on our superior offer in a timely manner," said Gabriel de Alba, managing director and partner of Catalyst.

This report by The Canadian Press was first published Dec. 2, 2019.