WET SEAL DEAL?: Ailing teen retailer The Wet Seal Inc. is considering an agreement with S.A.C. Capital Management to generate some much-needed cash. Under the agreement, S.A.C. — which already owns a 4.5 percent stake in the company...
WET SEAL DEAL?: Ailing teen retailer The Wet Seal Inc. is considering an agreement with S.A.C. Capital Management to generate some much-needed cash. Under the agreement, S.A.C. — which already owns a 4.5 percent stake in the company — would issue $40 million to the Foothill Ranch, Calif.-based chain in exchange for convertible notes. Wet Seal, which posted a loss in August of $102.8 million for the second quarter, would receive an injection of $10 million of interim financing immediately. The remaining $30 million in notes would be convertible into common stock at $1.50 a share. The agreement would also leave the door open for an additional $15.8 million of investment rights warrants in financing of notes convertible into common stock. Wet Seal shares closed at $1.45, down 15 cents, or 9.37 percent.
L.A. SALE: The California Market Center in downtown Los Angeles has accepted an offer by Jamison Properties to purchase the apparel, home and gift wholesale complex, a spokeswoman said Thursday. WWD reported that Jamison was paying $135 million for the property. Escrow is expected to close by early February, the spokeswoman said. The market center, comprising three buildings and 1.9 million square feet, is about 60 percent leased, around the same occupancy it has had since Hertz Investment Group of Santa Monica, Calif., purchased it for $90 million in 2000. The spokeswoman said the building’s 94-person staff will be retained for 90 days after the close of escrow.
A Stella McCartney sketch of a custom dress made from protein-based silk in partnership with biotech lab Bolt Threads. The dress will be displayed at The Museum of Modern Art's upcoming design exhibition, "Items: Is Fashion Modern?"