US: Hartmarx deal at a standstill - report
The private equity deal to buy US suit maker Hartmarx has hit stumbling blocks over certain costs, reports US media.
According to the New York Post, Emerisque Brands UK and SKNL North America BV's bid to buy the Chicago-based firm is in jeopardy due to a standoff over related asset wind-down costs.
Emerisque spokespeople were not available to comment on reports.
Seperately, Dow Jones reports today (31 July) that Hartmarx chief executive Homi B. Patel plans to step down ahead of the deal.
Hartmarx filed for Chapter 11 bankruptcy protection in January this year. The subsequent sale talks attracted protests from workers over fears that major creditor Wells Fargo wanted the company to be closed rather than sold.
However, a federal bankruptcy judge last month gave the go-ahead for its US$119m sale, which was scheduled to close on 7 July.
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