Court confirms BCBG restructure
BCBG has announced that the bankruptcy court has confirmed the plans it submitted for a comprehensive debt restructure and buyout. The deal should wrap by the end of this month.
BCBG filed for Chapter 11 Bankruptcy in New York on February 28th of this year. Marquee Brands LLC (Marquee) and Global Brands Group Holding Limited (Global Brands) submitted the winning bid that the court accepted.
The comprehensive debt restructuring plan provides that Marquee and Global Brands will assume ownership and operations of BCBG and its family of brands. The transactions are scheduled to close by July 31st.
Unlike recent bankruptcies affecting apparel brands such as Bebe and American Apparel who were forced to close their retail doors, BCBG's restructuring agreement will keep stores open and allow consumers to continue a relationship with the brand. Marquee and Global Brands plan to introduce the brand to new markets and roll out additional licensed product in the future.
"BCBG has accomplished its goal to remain a viable, creative and strong brand through the sale transactions with Marquee and Global Brands," said Marty Staff, Acting Interim Chief Executive Officer of BCBG Max Azria Group, LLC.
Staff continued to call the bankruptcy and restructure a "difficult process." The restructuring plan will cover the BCBG Max Azria brand as well as BCBGeneration and Herve Leger by Max Azria.
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