21 Mar Stage Stores May Bid For Gordmans
Stage Stores said on Monday in a filing with the U.S. Bankruptcy Court in Omaha that it might be interested in purchasing a “substantial number” of Gordmans’ 100 stores.
Gordmans filed for bankruptcy protection on March 13 with intentions to quickly liquidate its stores. Stage operates about 800 departments stores in smaller markets under names including Bealls, Peebles and Goody’s.
Gordmans also reportedly received an interest from Jeff Gordman, great-grandson of founder Sam Richman. In his time as CEO, he led Gordmans’ sale to private equity company Sun Capital Partners in 2008 and help to take the company public in 2010.
The unsecured creditors committee is asking the court to slow down the liquidation move to entertain potential offers.
In filing for bankruptcy, the Midwest discounter said it invited more than 100 potential buyers to examine its books before it filed for bankruptcy and didn’t receive an offer prior to filing. A arrangement has been reached with Tiger Capital Group and Great American Group to liquidate the stores. The two liquidators became the a “stalking horse” bidder in the case and its bid can be exceeded in a bankruptcy auction.
Tiger Capital and Great American Group agreed to pay $74 million based on a projections that Gordmans’ inventory will sell for between $145 million and $153 million.