The renowned American fashion retailer JCPenney, which filed for Chapter 11 bankruptcy back in May 2020, has said that it is moving ahead with a sale of its business.
Stating the same in front of bankruptcy judge, attorney Joshua Sussberg of Kirkland & Ellis said at a court hearing that the deal is expected to conclude by the fall.
The attorney made it clear during the hearing that liquidation of the retail bigwig is certainly ruled out.
While condemning a report that was published recently in NY Post, which said that Sycamore was making a US $ 1.75 billion bid to acquire JCPenney and merge it with Belk, the attorney called the report ‘ill-informed’ and false.
However, the attorney quickly added that there were 3 bidders in line to ensure the retailer’s business goes on.
A person, on request of anonymity, reportedly said that Sycamore is one of the possible bidders, along with Hudson’ Bay Company and the renowned American mall owners Simon Property Group and Brookfield Property Partners.
There is, however, no official confirmation about who the 3 probable bidders are!
Importantly, attorney Sussberg also added that JCPenney intends to have ‘mass consensus’ with regard to its go-forward strategy in August.
It will be interesting to see the developments over the course of next few weeks.
JCPenney, which had recently announced closure of 242 stores by 2022, generates revenue of US $ 11.167 billion.