Shares of Sears rose 16 percent after the company announced a partnership with Amazon that would allow Sears to install tires sold by Amazon at its auto centers, according to Reuters.
Sears CEO Edward Lampert told attendees at the company's annual shareholders meeting May 9 the move was an attempt to reach a new customer base. Sears has sold assets and closed unprofitable stores as sales have declined in recent years amid increased competition from online retailers.
The new tire partnership will roll out in the coming weeks.
"The partnership with Amazon, while a positive for Sears Auto Centers, is unlikely to impact the overall deteriorating revenue and profit picture at Sears stores in a meaningful way," Ken Perkins, founder of Retail Metrics, told Reuters.