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Saks Global Files for Chapter 11, Taps $1.75 Billion Lifeline

The case stems from the debt-heavy 2024 Neiman Marcus acquisition that left the retailer unable to meet interest payments.

Overview

  • The company filed in the U.S. Bankruptcy Court for the Southern District of Texas and says stores and e-commerce will keep operating as it seeks court approval to honor customer programs and maintain payroll.
  • Financing includes roughly $1 billion in debtor-in-possession funding from a bondholder group led by Pentwater Capital and Bracebridge Capital, about $240 million in additional asset-based liquidity, and $500 million committed upon emergence.
  • Former Neiman Marcus CEO Geoffroy van Raemdonck was appointed chief executive, replacing Richard Baker after Marc Metrick’s departure earlier this month.
  • Court filings list estimated assets and liabilities of $1 billion to $10 billion, and name major unsecured claims including Chanel at about $136 million and Gucci owner Kering at about $60 million.
  • Vendors had withheld shipments as unpaid invoices mounted, contributing to inventory gaps and pressuring the company in the run-up to the bankruptcy filing.