Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Barneys close to sale to Authentic Brands after rival bid fails: sources

Stock Markets Oct 24, 2019 07:22PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

By Jessica DiNapoli and Mike Spector

NEW YORK (Reuters) - Luxury retailer Barneys New York Inc is close to being sold to licensing firm Authentic Brands Group LLC after a competing bid from a trade show executive failed to qualify for a bankruptcy auction, people familiar with the matter said on Thursday.

Authentic Brands had agreed with Barneys to be its so-called stalking horse buyer, setting the floor for other offers. Now that a bid from Israeli businessman Samuel Ben-Avraham has failed, Barneys plans to cancel an auction scheduled for Monday, the people said.

Barneys did not immediately respond to a request for comment. Ben-Avraham, who owns fashion trade shows and was a co-founder of streetwear retailer Kith, declined to comment.

An eleventh-hour bidder may still show up, the sources said, asking not to be identified because they were not authorized to speak to the media.

Authentic Brands' $271 million offer for Barneys is expected to close on Oct. 31, the brand development company said in a prepared statement. Its plan for Barneys includes shops within existing Saks Fifth Avenue locations.

"We look forward to proceeding with our plans for Barneys as we continue the closing process," Authentic Brands said. "Our goal is to preserve and build upon Barneys' legacy and evolve it for the future."

Authentic Brands, which owns Nine West and Juicy Couture, will also keep certain Barneys brick-and-mortar locations open depending on negotiations with landlords.

A cultural touchstone for generations of New Yorkers and followers of fashion, Barneys faced the possibility of having to wind down its business altogether.

The retailer filed for bankruptcy in August citing rent hikes as a factor. The chain is one of the most high-profile victims of distress in brick-and-mortar retail, which face significant competition from e-commerce websites.

Barneys close to sale to Authentic Brands after rival bid fails: sources
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email