Bids for the struggling Carrollton, Tex.-based 243-unit chain are due on Feb. 4, and should be submitted to Michael O’Hara of Financo Inc. Financo is Gadzooks’ investment banker.
“We have a marketing book that we will send to interested parties after they have signed a confidentiality agreement. We will take the highest or best offer, and we will sell the whole chain, a part of its assets or any combination of assets,” the banker said on Tuesday.
Bankrupt chains looking for the best value sometimes see combined package offers where inventory is sold to one entity and retail locations to another.
A financial source familiar with asset sales in bankruptcy said a possible buyer could be a vertical retailer looking for a combination of brand name and retail locations at a value price.
How much Gadzooks could hope to get in a sale remains to be seen.
The former teen apparel chain, which now targets juniors’, was set to reorganize under Chapter 11. It already had Gryphon Capital of Dallas leading a group of six hedge funds to backstop a $25 million rights offering. The offering would have formed the basis for the retailer’s exit financing. The investor group pulled out earlier this month, following Gadzooks’ report that December same-store sales declined by 3.7 percent.
Gadzooks is already in discussions with at least 2 strategic buyers — one is a retailer — and 2 financial buyers. The financial players are private equity groups, according to a source familiar with the bankruptcy.
Taking the final spot on the mens’ portion of New York Fashion Week calendar next month will be none other than @tomford. Though he’s shown his men’s wear in New York in the past, this will mark the first time the designer has shown his men’s collection alone during New York Fashion Week: Men’s. His runway show will debut on February 6 at the Park Avenue Armory. #wwdfashion
London-based couture house @ralphandrusso has certainly been in the spotlight, having its dresses worn by @beyonce, Angelina Jolie, Meghan Markle in her engagement photos and more. For couture, Tamara Ralph focused on ornamentation — think: feathers with chain mail, jet embroidery and clusters of pearls and crystals. See the rest of the collection on WWD.com #wwdfashion #couture (📷: @giovanni_giannoni_photo)
Minnie Mouse celebrated her 90th birthday by getting her own star on the Hollywood Walk of Fame. For her celebratory luncheon, @coach’s creative director @stuartvevers dressed her in a custom made prairie dress, complete with Vever’s take on the polka dot – black sequined versions – under a cropped motorcycle jacket. The designer also put his own mark on Minnie’s classic red shoes, infusing the color with sparkles and adding some Coach crystals. “We chose colors that were very Minnie and also represented quintessential Coach elements,” said Vevers. #wwdfashion #nationalpolkadotday (📷: George Chinsee)
@nickjonas is unveiling his first-ever apparel collection through a partnership with John Varvatos. The limited-edition capsule, which makes its debut in spring, also marks the first time the designer has collaborated with anyone on a line. “The process in working with Nick is amazing. It’s inspiring to be around someone who is not only connected with the trade that they do, but also with what’s happening in the environment around him, and how that connects to what we do with style,” said Varvatos. (RG: @johnvarvatos) #wwdfashion
@margotrobbie steps out onto the red carpet wearing @miumiu. The actress is nominated for “Outstanding Performance by a Female Actor in a Leading Role” in “I, Tonya” at the #SagAwards. (📷: Stewart Cook) #wwdfashion
For @massimogiorgetti of @msgm, the Nineties are his favorite decade. “They had a huge impact on my personal growth. What I like of the Nineties is that they are not so precise in terms of style as other decades…there was actually a bit of everything,” he said. As seen on MSGM’s Spring 2018 show: tie-dye and a bit of grunge, two styles that are synonymous with the decade #wwdfashion #wwddecades (📷: @kukukuba)