The Manchester, England-based e-tailer late last month said it entered a purchase agreement with Nasty Gal — which filed for bankruptcy in November — to pay $20 million for some of the company’s intellectual property. With the bidding procedures and timeline for a potential auction now set by the court, it appears some 206 individuals or businesses have apparently expressed interest in buying the company, according to a legal filing this week. The list of those possible bidders remains confidential but could lead to a challenger on the Boohoo bid, or a boost in the purchase price for the business’s assets.
Urban Outfitters, about three years ago at the height of the buzz surrounding Nasty Gal, had been rumored to have been looking at the company and more recently Revolve’s name had been thrown in the mix of companies that had taken a look at the business.
Boohoo’s purchase, if successful, would be an intellectual property play. The company also has two leases on Melrose Avenue and another at the Third Street Promenade in Santa Monica, which are not part of the deal struck with Boohoo.
If no qualified bidders emerge, Boohoo’s purchase agreement with Nasty Gal would go before a bankruptcy court judge for approval.
All bids are due by Feb. 5 with an auction, if one is warranted, to take place Feb. 7.
Boohoo’s go at the fashion company had been the subject of much speculation following its registration of the business name Nasty Gal Ltd. less than two weeks after its bankruptcy filing. A purchase of Nasty Gal is seen as giving Boohoo a leg up in the U.S. market as it looks to scale its operations and be a global business. Boohoo earlier this month closed on its acquisition of the fashion e-tailer PrettyLittleThing for 3.3 million pounds or about $4 million at current exchange rates.