TORONTO - Investment firm Catalyst Capital Group Inc. says it has boosted the number of Hudson's Bay Co. (HBC.TO) shares it's seeking to buy in an effort to oppose a proposal to privatize the retailer.

The firm says it is now seeking to buy up to 19.8 million shares at $10.11 each, up from 14.8 million shares, for a total bid value of $200 million.

The offer, seeking about 10.75 per cent of outstanding shares, came after an insider group led by board chairman Richard Baker made a bid in June of $9.45 per share to take the retailer private.

Catalyst says the Baker-led offer greatly undervalues the company, which owns the Saks Fifth Avenue, Hudson's Bay, Lord &Taylor and Saks OFF 5th retail brands as well as significant real estate holdings.

A committee of independent directors said last week that the Baker-led offer was inadequate.

The Catalyst offer remains open until 5 p.m. ET on Aug. 16 unless it is extended, varied or withdrawn.