Gordmans Stores Inc., a Midwestern valued-priced department store operator, could be the next retailer to file for Chapter 11 bankruptcy court protection.
Based in Omaha, Neb., the retailer was founded in 1915 by Sam Richman. Richman later joined forces with his son-in-law Dan Gordman and the two formed Richman Gordman. Eventually all the stores were renamed Gordmans.
The company was sold in 2008 to private equity firm Sun Capital Partners, which took the company public in 2010. A secondary public offering was completed in 2012.
Bloomberg first reported on the possibility of a bankruptcy filing on Monday.
There are currently 106 Gordmans stores across 22 states.
The company at the end of January had consolidated its workforce. Andy Hall, the retailer’s president and chief executive officer said at the time, “It is a very difficult decision to eliminate non-store positions as all Gordmans’ employees are passionate about creating the best shopping experience for our guests.”
It wasn’t immediately clear when a filing, if the retailer chose to go this route, would be made.
A spokeswoman for the retailer said, “Per our policy, Gordmans doesn’t comment on rumor or speculation.” A spokesman for Sun Capital declined comment.
Sun Capital was also an investor and owner in The Limited. Limited was shuttered earlier this year.