USA: Factory 2-U Stores To Sell Assets For $28m
Bankrupt off-price retailer Factory 2-U Stores Inc has agreed to sell its assets for $28 million.
The buyer is a new company called Factory 2-U Acquisition LLC, formed by an affiliate of National Stores Inc, The Alamo Group, Garcel Inc (operating as The Great American Group) and The Ozer Group LLC.
Under terms of the agreement, the Factory 2-U Acquisition will acquire assets, inventory and lease obligations for the company's stores and distribution centre.
Completion of the transaction is subject to Bankruptcy Court approval.
An auction to attract higher or better bids for Factory 2-U's assets is also being held in Wilmington, Delaware on 31 August 2004. A follow-up hearing has been scheduled for 2 September.
Norman G Plotkin, chief executive officer of Factory 2-U, said: "We believe this process, which allows for higher or better bids for our company to be submitted by other interested parties at an auction, will generate the best available outcome for the company and its constituents."
Help test our new apparel sourcing tool.
- US apparel sector braces for potential cost hikes
- Trade Tracker – Trump's first weeks, Brexit agenda
- Does a hard Brexit mean hard times for UK fashion?
- Vietnam grows share of US apparel imports in 2016
- Key trade issues facing US textiles and apparel
- Bangladesh "high threat" for terrorist activity
- Li & Fung dropped from Hang Seng Index
- VF Corp sees Q4 and FY earnings tumble
- Ralph Lauren new execs to support Way Forward Plan
- Sales at US clothing retailers jumped in January
- When Things Go Wrong - A Practical Guide to Managing Common Problems in Apparel Sourcing
- Outdoor performance apparel 2016: A broader perspective
- Technical textile markets: product developments and innovations, December 2016
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Global market review of lingerie – forecasts to 2022