Saadia Group won the bankruptcy auction for RTW Retailwinds’ New York & Company and Fashion to Figure e-Commerce business and related intellectual property for a cash purchase price of $40 million plus assumption of certain liabilities, including honoring gift cards. The deal includes the web sites www.nyandcompany.com, www.fashiontofigure.com and the rental subscription businesses www.nyandcompanycloset.com and www.fashiontofigurecloset.com.
“We are extremely pleased to have received a new, significantly higher-priced purchase agreement from Saadia Group for our e-commerce business and all related intellectual property and certain other assets,” said Sheamus Toal, CEO of RTW Retailwinds in a statement. “Similar to our previous agreement, the new agreement will allow our substantial e-commerce business to continue to operate and serve our loyal customers.”
The new agreement is subject to final approval by the New Jersey Bankruptcy Court and a hearing is scheduled for Sept. 3.
RTW Retailwinds filed for Chapter 11 protection in mid-July due to “significant financial distress” caused by the COVID-19 pandemic, with plans to close up to all 328 physical locations. The retailer also suffered from a C-level executive exodus in late April that included the departure of CEO Tracy Inglis just a month after she was promoted to the role.
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