Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, Saks OFF 5TH operating across stores and ecommerce experiences, honoring all customer programs and policies
Facilitates go-forward payments to brand partners and acceleration of inventory flow
Saks Global Enterprises LLC, a leading luxury retail company, today announced that it has access to an initial tranche of approximately $500 million of $1.75 billion in committed capital, providing sufficient liquidity to support operations and transformation initiatives across the portfolio. Importantly, this funding will facilitate go-forward payments to brand partners and the acceleration of inventory flow. Under newly appointed CEO Geoffroy van Raemdonck, Saks Global will move through the chapter 11 process efficiently with a renewed focus on expertly curated assortments, trusted relationships with brand partners and an unwavering commitment to loyal customers.
“Access to this significant capital is instrumental as we work to strengthen our financial foundation and best position Saks Global for the future. Our stores and ecommerce experiences are open and focused on delivering exceptional products, elevated luxury experiences and highly personalized service to our customers,” said van Raemdonck. “Saks Global continues to play a distinct and enduring role in the luxury retail industry and, through this process, we will have the opportunity to build a more resilient company, primed for lasting financial and operational stability. Our employees, brand partners, customers and vendors remain at the heart of everything we do, and we thank them for their ongoing support.”
This funding follows Saks Global’s successful first day court hearing, marking the first major milestone in its chapter 11 cases. At the hearing’s conclusion, orders were entered facilitating continued operations in the ordinary course, including maintenance of payroll and benefits as usual and fulfillment of go-forward obligations to partners and vendors. As Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, Saks OFF 5TH, Last Call and Horchow continue to serve customers in the ordinary course, the retailers will honor all customer programs and policies, including credit cards, gift cards and loyalty programs.
With the addition of new executive strength including van Raemdonck, Darcy Penick, President, Chief Commercial Officer, and Lana Todorovich, Chief Global Brand Partnerships Officer, and its experienced existing management team including Brandy Richardson, Chief Financial Officer, the Company is well positioned for continued long-term leadership in luxury retail in service of brands and customers.
Advisors
Willkie Farr & Gallagher LLP and Haynes and Boone, LLP are serving as legal counsel, PJT Partners LP is serving as investment banker, Berkeley Research Group is serving as financial advisor, and C Street Advisory Group is serving as strategic communications advisor to the Company.
Explore the Business Insights Journal for up-to-date strategies and industry breakthroughs!
