Authentic Brands Group LLC is poised to buy bankrupt apparel retailer Barneys New York Inc. for nearly $270 million in a deal that will see the brand developer license the Barneys brand to Hudson's Bay Co.-owned Saks Fifth Avenue LLC, The Wall Street Journal reported Oct. 14, citing people familiar with the matter.
The move comes after an offer from a group of investors led by clothing entrepreneur Sam Ben-Avraham collapsed after failing to secure financing, the newspaper said.
Saks is reportedly in talks to add Barneys in some of its stores and take control of Barneys' website. Meanwhile, Authentic Brands is reportedly negotiating with some of Barneys' landlords to keep some stores open.
Barneys, which declared bankruptcy in August, has been pleading for more time to secure a deal with a buyer and avoid liquidation, the report said.
Authentic Brands and Hudson's Bay did not immediately respond to S&P Global Market Intelligence's requests for comment.