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Saks Global seeks to file for bankruptcy as soon as Sunday, Bloomberg News reports
Saks Global seeks up to $1 billion in debtor-in-possession financing to avoid liquidation after debt from 2024 Neiman Marcus acquisition strained finances, sources say.
- Beleaguered retail chain Saks Global is struggling to line up as much as $1 billion in financing to keep the business afloat during a potential Chapter 11 bankruptcy filing and secure a debtor-in-possession loan, people said.
- A slowdown in the luxury market in recent years and mounting debt from its $2.7 billion 2024 acquisition of Neiman Marcus have worsened Saks' financial troubles.
- Since missing an interest payment late last month, only a limited number of investors have shown interest while potential DIP lenders worry about recouping funds, narrowing backers to liquidators or alternative asset managers.
- Failure to secure the loan would prevent a Chapter 11 reorganization and could force Chapter 7 bankruptcy, risking closure of some stores as Saks struggles to fund payroll, rent and inventory.
- The storied 159-year-old Saks Fifth Avenue, which owns Neiman Marcus and Bergdorf Goodman, faces potential collapse affecting more than 70 full-line stores and about 100 off-price locations.
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Luxe retailer plans to file for bankruptcy as soon as Sunday as it crumbles under mounting debt: report
Luxury retailer Saks Global is planning to file for Chapter 11 bankruptcy as soon as Sunday, Bloomberg News reported Friday, citing people familiar with the matter.
·New York, United States
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Coverage Details
Total News Sources15
Leaning Left1Leaning Right2Center9Last UpdatedBias Distribution75% Center
Bias Distribution
- 75% of the sources are Center
75% Center
C 75%
R 17%
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