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Saks Global Files for Chapter 11 in Texas, Proposes $1.75 Billion Financing

Luxury suppliers led by Chanel have lodged claims of roughly $345 million.

Overview

  • The proposed package includes a $1.0 billion debtor-in-possession loan, a $240 million asset-based facility, and $500 million available upon emergence.
  • Company filings say stores will stay open during the case as negotiations proceed toward a restructuring or potential sale.
  • Luxury-brand claims total about $345 million, including Chanel at $136 million and Spain’s Puig at $12 million, with Kering, Richemont, LVMH and Christian Louboutin also listed.
  • Liquidity pressures intensified after a missed interest payment exceeding $100 million on Dec. 30 and vendors began withholding inventory, leading to asset sales such as Neiman Marcus’s Beverly Hills property.
  • Leadership is shifting with Geoffroy van Raemdonck replacing Richard Baker as CEO, alongside new roles for Darcy Penick and Lana Todorovich.