Consumer Law

The Parent Company of Jessica Simpson’s Brand Files for Bankruptcy

Sequential Brands Group Inc., the parent company of brands including the Jessica Simpson fashion collection and Joe’s Jeans, filed for bankruptcy protection after the apparel industry was upended by changing consumer habits and the coronavirus pandemic.

The owner and licensor of brands such as Gaiam yoga filed its Chapter 11 petition in Wilmington, Delaware with plans to hold an auction as part of a deal with some of its lenders. They include affiliates of Apollo Global Management Inc. and KKR & Co., according to court documents. Two initial bidders have offered $375 million for many of the company’s assets.

Sequential listed debts of $435 million and assets of $443 million in court papers. The company said it has arranged a $150 million loan to help fund its reorganization, subject to approval by John Dorsey, the judge overseeing the case.

Read the source article at Yahoo Finance

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