A group calling itself the “proposed attorneys for the official committee of unsecured creditors” has filed an objection with U.S. Bankruptcy Court against the proposed stalking horse bid from Authentic Brands to acquire the troubled manufacturer, claiming the sale process has been manipulated to the point that it will result in an “artificially low sale price.”
In papers filed late Thursday by Leonard, Street and Deinard of Minneapolis and obtained by WWD, the committee alleges that HMX’s chief executive officer, Doug Williams, “engineered from the beginning to ensure a favorable result for Doug Williams, Salus Capital Partners, and the stalking horse bidder at the expense of the estate and the unsecured creditors in particular. Material terms of the proposed sale were not disclosed until a few days before the auction and in many instances they were never revealed at all. This, of course, served to chill interest in the sale and will chill bidding at the auction as well.”
The papers go on to say that “potential bidders complained repeatedly to the committee about their inability to get comfortable with the transaction because they could not get their hands on critical information. In addition, many of the sale terms that were disclosed were so confusing or ambiguous that theyserved to chill bidding even further. The Committee simply cannot, and willnot, support any sale conducted in such a skewed and unfair manner.”
The group also alleges that Salus, the debtors and Williams “refused to honor basic requests for information” from “an alternative financing source.”
According to sources, CIT is among the firms willing to finance an alternative bid to Authentic Brands’. The papers say that Williams “stands to have his highly lucrative employment contract assumed by the stalking horse bidder, and will gain control of the debtors’ assets without making any personal investment or incurring any personal liability in exchange. And Authentic Brands “will obtain extremely valuable intellectual property and licensing rights at a remarkably favorable price.”
As a result, the group is asking that the motion by Authentic Brands to acquire the company be denied.
Luxury handbag resale company @rebagofficial is planning to sell a rare collectible for $70,000: the @hermes White Crocodile Himalayan Birkin. The exclusive Birkin sold for about $100,000 in 2008, when @davidbeckham bought one for his wife @victoriabeckham to add to her collection. Read more about the rare Birkin on WWD.com #wwdaccessories
With her costume pearl necklace and what-you-see-is-what-you-get style, Barbara Bush, who died Tuesday at age 92, was a straight-shooter from start to finish.
Born Barbara Pierce in New York City, Bush served as the 37th first lady, as well as the country’s second lady from 1981 to 1989. In addition to being part of the longest presidential marriage — 73 years — Bush also had the unlikely distinction of having one son, George W., become the 43rd president and another son, Jeb, run unsuccessfully in 2016. Having served as second lady during the Reagan administration’s two terms and lived all over the world during her own husband’s ascending political career, Barbara Bush made it clear that literacy — not fashion — was her priority. Read more from Rosemary Feitelberg’s obituary on the late First Lady in WWD.com, link in bio. #barbarabush #wwdnews
Western and ’90s trends have influenced denim for fall 2018. Think raw, dark and coated jeans mixed with bold prints and tough leather. #trendtuesdays #wwdfashion (Styled by @thealexbadia;📷: @ryanplett)
@denimdaysfestival, which initially launched in Amsterdam in 2014 and has since expanded to New York, is heading to Nashville for the very first time. The two-day festival, which will take place in November, will feature brand activations, hands-on workshops by artisans and denim mills, a vintage market, live entertainment, and local food and drinks. Get all the details on WWD.com. #wwdnews #wwdfashion
Later this month, the popular “Diana: Her Fashion Story” exhibit will be reopening. @historicroyalpalaces, the charity that manages @kensingtonroyal, has been working towards adding new, never-before-seen garments to the exhibit, including this dress created by Gianni Versace for a fund-raising dinner at the Museum of Natural History in Chicago. The exhibit will reopen on April 26 at Kensington Palace @wwdfashion
“Our family has always been engaged and interested in the world around us. [My brothers and I] were always encouraged to have our own opinion at a young age, which is not always something a child is asked — especially to have an opinion with reasoning behind it,” said @yarashahidi on becoming an activist. We caught up with the 18 year old last week, where she talked about her road to acting, how “Black-ish” led her to start conversations about identity and more. Head to WWD.com to read what she had to say #wwdeye (📷: @chelsealaurenla)