Fashion retailer Express Inc. took a significant step towards restructuring its finances by filing for Chapter 11 bankruptcy protection in Delaware on Monday. The company is grappling with approximately $1.2 billion in debt and is looking to stabilize its operations through strategic asset sales, including its popular retail store locations.
Strategic Asset Purchase Offer on the Table
In conjunction with its bankruptcy announcement, Express CEO Stewart Glendinning revealed a promising offer from a buying group led by WHP Global. This deal is expected to be a cornerstone in the company’s strategy to regain financial health. “This move is pivotal in fortifying our financial foundation, enabling Express to forge ahead with our business objectives,” Glendinning stated. He highlighted WHP Global’s ongoing support since 2023 and noted that the proposed transaction would infuse additional funds, driving profitable growth and enhancing stakeholder value.
Express Files for Bankruptcy : Financial Support and Operational Adjustments
As part of its financial recovery strategy, Express has secured $35 million in debtor-in-possession financing from its current lenders, pending court approval. This critical funding aims to support continued operations during the restructuring process.
