Barneys New York declared bankruptcy back in August and court records were filed last month. Since then, the luxury department store has received bids that would potentially allow them to avoid liquidation.
What We Know:
- The Wall Street Journal reported that a group of fashion execs, led by Sam Ben-Avraham, is preparing a bid of about $220 million to take control of Barneys New York Inc.
- Authentic Brands Group, the owner of over 50 brands including Nine West, Nautica and Hickey Freeman, made a formal $264 million offer for Barneys that was accepted by the store’s lenders, the New York Times reports. Authentic Brands Group, which has annual revenues of $10 billion, has a deal with Hudson’s Bay Company, the owner of Saks Fifth Avenue, to license the Barneys name if it acquires it.
- A.B.G say’s that it would try to keep Barneys stores open, but says that they would close all seven of them if better rental agreements are not reached.
- According to the New York Times, lawyers for Barneys were still working to finalize an agreement with its first formal bidder on Tuesday. The lawyers said that they were working with buyers to “keep open the option” of a bid that would avoid liquidation and preserve jobs.
The bankruptcy judge, Cecelia G. Morris, will issue her ruling on the bids on Oct. 24.