Forever 21 in the United States was preparing to close at least 200 other sites as part of the bankruptcy process is expected to start as soon as possible next month, Bloomberg News said on Wednesday, citing people to know the matter.
Possible bankruptcy is also looking for a buying buyer for retail stores. However, if no qualified buyer appears, Forever 21 will filter a full series of about 350 stores, the report added.
Bloomberg said that the 21 Forever 21 brand and intellectual property are owned by authentic brands of the clothing chain, which are licensed by stimulating brands, which are currently undergoing Chapter 11.
Catalyst Brands is a company formed in January of the process of merged the JCPENNEY and SPARC group. According to the Catalyst Brands website, it runs the Sparc Group Aéopostale, Eddie Bauer, Lucky Brand and NAUTICA.
Among the shareholders of the Catalyst Simon Property Group, Brokefield Corporation, Authentic Brands Group and Shein.
Bloomberg said that the ownership of the original brand Forever brand 21 will remain intact through any bankruptcy.
Forever 21 for retailers and current distributors regardless of the results of the sales or potential liquidation of the stimulus marks in bankruptcy.
Forever 21, the catalyst brands and the original brands immediately did not respond to Reuters requests for comment.
