New Chapter 11 Bankruptcy Filing - Limited Stores Company LLC

Limited Stores Company LLC

  • 1/17/17 Recap: Sun Capital owned multi-channel retailer with 250 locations (down from a peak of 750) filed for bankruptcy to continue its Hilco-assisted liquidation and sell its IP and e-commerce channel for a proposed ~$25.5mm sum to Sycamore Partners. Looks like some "A Malls" owned by Simon Property Group and GGP Limited Partnership just got nicked.  
  • Jurisdiction: D. of Delaware
  • Capital Structure: $50mm RCF (unfunded, BofA), $13.4 TL (Cerberus Business Finance LLC)   
  • Company Professionals:
    • Legal: Klehr Harrison Harvey Branzburg LLP (Domenic Pacitti, Michael Yurkewicz)
    • Financial Advisor: RAS Management Advisors LLC (Timothy Boates)
    • Investment Banker: Guggenheim Securities LLC (Durc Savini, Ryan Mash, Michael Gottlieb, Ben Loveland, Justin Kundrat, Grace Dai)
    • Sponsor: Sun Capital Partners Inc.
    • Claims Agent: Donlin Recano (*click on company name for docket)
  • Other Parties in Interest:
    • Cerberus Business Finance LLC
      • Legal: Klee Tuchin Bogdanoff & Stern LLP (Michael Tuchin, David Fidler, Jonathan Weiss)
    • Sycamore Partners
      • Legal: Kirkland & Ellis LLP (James Stempel)
    • TradeGlobal LLC
      • Legal: Squire Patton Boggs (US) LLP (Elliot Smith) & (local) Polsinelli PC (Christopher Ward)
    • Official Committee of Unsecured Creditors
      • Legal: Kelley Drye & Warren LLP (Jason Adams, James Carr, James Shickich, Kristin Elliott) & Pachulski Stang Ziehl & Jones LLP (Bradford Sandler, James O'Neill)
      • Financial Advisor: CBIZ Accounting Tax and Advisory of New York (Esther DuVal)

Updated 3/30/17

New Filing - Choxi.com, Inc.

Choxi.com, Inc. (aka Nomorerack.com)

  • 12/5/16 Recap: E-commerce retailer funded to the tune of $52mm that is now almost certainly completely wiped out filed for bankruptcy in response to an involuntary filing by three creditors owed $300+k on account of goods sold. Despite being named after a URL, the URL is no longer active and so we can't even see what kind of fancy wares they had (tried) to sell.   
  • Jurisdiction: S.D. of New York   
  • Company Professionals:
    • Legal: Klesdadt Winters Jureller Southard & Stevens, LLP (Tracy Klesdadt, Christopher Reilly, Stephanie Sweeney)
    • Financial Advisor: CBIZ Tax Accounting & Advisory New York LLC (Blanche Zelmanovich)
    • Claims Agent: Rust Consulting/Omni Bankruptcy LLC (*click on company name for docket)
  • Other Parties in Interest:
    • Unsecured Creditors' Committee
      • Legal: Nutovic & Associates (Isaac Nutovic)
      • Financial Advisor: CBIZ Tax Accounting & Advisory New York LLC (Blanche Zelmanovich)

Updated 12/29/16

New (Chapter 22) Filing - American Apparel Inc.

American Apparel Inc.

  • 11/14/16 Recap: Large US-based apparel manufacturer and retailer with 193 total stores files for bankruptcy - months, uh, after emerging from bankruptcy. Company filed with a $30mm DIP proposal from Encina Business Credit LLC. Plan is to sell (for parts) expeditiously to Gilden Activewear SRL for $66mm (IP, remaining wholesale inventory and wholesale POs during restructuring).  
  • Jurisdiction: D. of Delaware
  • Capital Structure: $215mm of funded debt ($90mm DIP-rolled-into-TL-exit + $82mm of additional financing) & $15mm unsecured UK facility (Standard General)    
  • Company Professionals:
    • Legal: Jones Day LLP (Carl Black, Scott Greenberg, Michael J. Cohen, Erin Brady, Stacey Corr-Irvine, Genna Ghaul, Christpher Lovrien) & (local) Pachulski Stang Ziehl & Jones LLP (Laura Davis Jones, James O'Neill, Joseph Mulvihill)
    • Financial Advisor: Berkeley Research Group LLC (Mark Weinsten, Joseph D'Ascoli) & FTI Consulting (Andrew Hinkelman, Chuck Goad, Adam Saltzman, Frank Marshall, William Breashears, Zach Contreras)
    • Claims Consultants: Resources Global Professionals (Thora Thoroddsen, Evelyne Anglade, Scott Ashcraft, Luis Barreda, Sharon Dannewitz, Yolanda Hoelscher, Rodney Teruya)
    • Investment Banker: Houlihan Lokey (Saul Burian, Devin Shanahan, Sanaz Memarsadeghi, Ethan Kopp, Alexander Stolarz, Varun Desai)
    • Claims Agent: Prime Clerk (*click on company name for docket)
  • Other Parties in Interest:
    • DIP Lender: Encina Business Credit LLC
      • Legal: Riemer & Braunstein LLP (Steven Fox, Donald Rothman, Lon Singer, Alexander Rheaume) & (local) Ashby & Geddes PA (Gregory Taylor)
    • Agent to Prepetition Secured Lenders: Wilmington Trust
      • Legal: Covington & Burling LLP (R. Alexander Clark, Dianne Coffino) & Pepper Hamilton LLP (David Fournier)
    • Buyer: Gilden Activewear SRL
      • Legal: Sullivan & Cromwell LLP (Michael Torkin, Brian Hamilton, Miaoting Wu) & (local) Womble Carlyle (Matthew Ward)
    • Lead Lenders & Equityholders: Monarch Alternative Capital LP, Coliseum Capital Management LLC, Goldman Sachs Asset Management LP, Pentwater Capital Management LP, Standard General
      • Legal (except Standard General): Milbank Tweed (Gerard Uzzi, Eric Stodola) & (local) Fox Rothschild (Jeffrey Schlerf, L. John Bird)
      • Legal (Standard General): Debevoise & Plimpton LLP (Natasha Labovitz, Shannon Rose Selden, Craig Bruens, Erica Weisgerber) & (local) Young Conaway (Edmon Morton, Joseph Barry)
    • Largest Unsecured Creditors: Standard General, FTI Consulting, Moelis, Garden City Group
    • Unsecured Creditors' Committee:
      • Legal: Cooley LLP (Cathy Hershcopf, Seth Van Aalten, Robert Winning, Sarah Carnes, Michael Klein, Max Schlan) & (local) Bayard PA (Justin Alberto, Evan Miller, Gregory Flasser)
      • Financial Advisor: Emerald Capital Advisors (John Madden, Ryan O'Sullivan, Lawrence Jacobs, Christopher Moffatt, Jack Allen, Christopher Saitta, Daniel Pace, Ryan Feulner)

Updated 3/30/17

New Filing - Jo-Jo Holdings Inc. (Backwoods Retail)

Jo-Jo Holdings Inc. (Backwoods Retail)

  • 11/09/16 Recap: Austin-based outdoor gear and apparel retailer with 10 retail stores and an e-commerce presence files for bankruptcy. Blames changing shopping trends and consumer behavior and pressure from e-commerce (cough, Amazon) and bigbox retailers and onerous leases for need to restructure (under $3mm DIP).
  • Jurisdiction: N.D. of Texas
  • Capital Structure: $65mm RCF 
  • Company Professionals:
    • Legal: Kelly Hart & Hallman LLP (Michael McConnell, Nancy Ribaudo)

New Filing - Nasty Gal Inc.

Nasty Gal Inc.

  • 11/9/16 Recap: Sophia Amoruso's provocative female-fashion e-commerce retailer with two California brick-and-mortar locations collapses under the weight of its own growth, global currency effects, and the inability to tap capital markets given depressed valuations for retailers, generally, and e-commerce businesses, specifically, and files for bankruptcy to delever its balance sheet. There is no stalking horse bidder for the assets. 87% of its revenues are from e-commerce. The company had at least $65mm of venture capital funding (Index Ventures, Ron Johnson).
  • Jurisdiction: C.D. of California
  • Capital Structure: $15mm secured debt (Hercules Technology Growth Capital Inc.), $5mm unsecured convertible bridge loan (at 3x liquidation preference)(Stamos & Johnson Fund I, LLP)   
  • Company Professionals:
    • Legal: Robins Kaplan LLP (Scott Gautier, Lorie Ball, Kevin Meek)
    • Investment Banker: Peter J. Soloman Company 
    • Claims Agent: Rust Consulting/Omni Bankruptcy (*click on company name for docket)
  • Other Parties in Interest:
    • Hercules Technology Growth Capital Inc.
      • Legal: Cole Schotz (Stuart Komrower, Ryan Jareck) & (local) Pachulski (Jeffrey Pomerantz, Jeffrey Dulberg)
    • Boohoo F I Limited
      • Legal: Troutman Sanders LLP (Penelope Parmes, Harris Winsberg, Stephen Roach)
    • Unsecured Creditors' Committee
      • Legal: Levene Neale Bender Yoo & Brill LLP (Gary Klausner, Todd Arnold)
      • Financial Advisor: B. Riley & Co. 

Updated 12/30/16

New Filing - DirectBuy Holdings Inc.

DirectBuy Holdings Inc.

  • 11/1/16 Recap: E-commerce provider of concierge-based virtual shopping experiences files for bankruptcy to achieve a balance sheet restructuring via sale of the business to proposed stalking horse bidder, Derby SPV Inc. 
  • Jurisdiction: D. of Delaware
  • Capital Structure: $145mm 12% PIK Toggle Notes, $10mm pre-exchange holdover notes.    
  • Company Professionals:
    • Legal: Cole Schotz (Michael Sirota, Norman Pernick, Felice Yudkin, Ilana Volkov, Marion Quirk, Nicholas Brannick)
    • Investment Banker: Carl Marks Advisory Group LLC (Charles Boguslaski, C. Scott Chabina, Jonathan Ladner, Parker Condie)
    • Claims Agent: Prime Clerk (*click on company name for docket)
  • Other Parties in Interest:
    • Unsecured Creditors' Committee
      • Legal: Saul Ewing LLP (Sharon Levine, Lucian Murley, Aaron Applebaum, Dipesh Patel, Monique DiSabatino)
      • Financial Advisor: Emerald Capital Advisors (John Madden)
    • Equityholders: Bayside Capital & PennantPark Investment Corporation
      • Legal: Weil (Brian Rosen, Debora Hoehne) & (local) Pepper Hamilton (David Stratton)

Updated 12/30/16.