Authentic Brands CEO touts $1 billion liquidity, plans mall revival

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According to a 2017 Credit Suisse report, roughly 20% to 25% of American malls will be closed by 2022, a staggering figure in itself. By adding COVID-19 to the mix, retailers have fallen into a death spiral as sales continue to dwindle.

While many investors have opted to leave mall-based retail to the vultures, Salter has different plans.

“People are asking me, ‘Jamie. Mall-based retail? I don’t get it.’ What I am going to say to you is, we need bricks and mortar. Retail really needs it.”

Of course, Sparc has no intention of purchasing just any business. Rather, Sparc is looking for businesses with international recognition and solid real estate. For Salter, it is critical that the businesses he purchases already have a recipe for success.

“The brands that don’t have stores are harder to market and expand globally,” he said. “You need a footprint and a supply chain. Those are two critical parts to running a business.”

This isn’t Authentic Brands’ first rodeo, the company has Aeropostale, Barneys New York, Nine West, Nautica, and Forever 21 already under its umbrella of retail brands.