Nine West files for bankruptcy, will sell some brands

U.S. footwear and apparel company Nine West Holdings Inc filed for bankruptcy on Friday and said it would sell its Nine West and Bandolino footwear and handbag business to Authentic Brands Group.

Nine West owns brands such as Anne Klein and Gloria Vanderbilt, said it had received US$300 million in debtor-in-possession financing and had entered a restructuring agreement.

The company which had missed a debt interest payment in March, now plans to focus on its apparel, jewellery and jeanswear businesses.

Reuters had reported of Nine West’s plans on Thursday and sources had said the company had about US$1.5 billion in debt.

U.S. retailers are going through a period of upheaval, with more than 15 filing for bankruptcy last year unable to stand up to competition from online shopping.

Nine West listed assets in the range of US$500 million to US$1 billion, according to a court filing. The filing also stated Nine West’s liabilities in the range of US$1 billion to US$10 billion.

© Thomson Reuters 2018