(Bloomberg) – J. Crew Group Inc. filed for bankruptcy, unable amidst the debt crown in a long time ago leveraged buyout rooted pandemic and crushed reporting sales of its preppy clothing line to revive. The retail chain into an agreement with the majority of its lenders has reached $1.65 billion of debt in the capital, said J. Crew Monday in a statement to convert. Lenders led by Anchorage Capital Group, Blackstone Group, Inc. GSO Capital Partners and Davidson Kempner Capital Management are $400 million of funding provided that will enable the company to maintain operations during the Chapter 11 restructuring, according to the statement. The failure of the US Bankruptcy Court in Richmond, Virginia, J. Crew allows you to stay in business, while cutting its links. Normally, that would open the doors for her to J. Crew and Madewell stores hold, but sales in these outlets disappeared when the crown buyers forced to stay at home and close nonessential businesses. to spread, even before the virus, the company is in trouble because of online retailers and shoppers’ tastes defection consumers have been changed. J. Crew had tried some of the miss fashion and of poor quality complaints to retrieve his clothes. The company has succeeded in standard lunge once before in 2017 with a financial review, the assets in a way that moved including blending growing rapidly Madewell out of the reach of creditors. The change has done little to make their fortunes reversed the company, but angry creditors and transformed J.Crew name synonymous with Wall Street for crooked debt occasions that creditors with debts of weaker activity left the company. J. Crew has been left for an IPO to raise capital Madewell and facilitate its heavy debt, a legacy of the 2011 leveraged buyout of current owner TPG Capital LP and Leonard Green & Partners LP. put an end to the turmoil in financial markets this option. Madewell part of J. Crew as part of the transaction support contract, the company obtains with its creditors, according to the statement. About 71% of the term loan lender company and 78% approved of his so-called IPCO notes the agreement, the company said. The company serves 182 stores brand J.Crew, Madewell 140 stores and 170 factory stores from March 2, after recently generated reports included. The case is Chinos Holdings Inc., 20-32181, US Bankruptcy Court, Eastern District of Virginia (Richmond). Picture copyright by Rob Kim Getty Images
US retailer J. Crew insolvent Sales Flag A pandemic
