NEW YORK--(BUSINESS WIRE)--RTW Retailwinds, Inc. [OTC PINK:RTWIQ], an omni-channel specialty apparel retail platform for powerful celebrity and consumer brands, announced today that after a bankruptcy auction on Friday August 28, 2020 it has entered into a new asset purchase agreement with the winning bidder at such auction, Saadia Group, LLC, for the sale of its e-commerce business and all related intellectual property, including its websites, www.nyandcompany.com, www.fashiontofigure.com and its rental subscription businesses at www.nyandcompanycloset.com and www.fashiontofigurecloset.com together with certain other assets for a cash purchase price of $40 million plus assumption of certain liabilities, including honoring gift cards, subject to closing adjustments. The Saadia Group, LLC asset purchase agreement supersedes the prior stalking horse asset purchase agreement announced on August 4th, 2020 with Sunrise Brands, LLC. The new agreement is subject to final approval by the Bankruptcy Court and a hearing is scheduled on Thursday, September 3rd, 2020.
Sheamus Toal, Chief Executive Officer of RTW, commented: “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. Similar to our previous agreement, the new agreement will allow our substantial e-commerce business to continue to operate and serve our loyal customers. I remain deeply thankful to our associates, business partners and our many loyal customers for their unwavering dedication and commitment to the process and we look forward to receiving final approval in the very near future.”
The Company filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the District of New Jersey (the “Court”) on July 13, 2020.
The Court filings and other information related to the proceedings are available on a separate website administered by the Company’s claims agent, Prime Clerk at https://cases.primeclerk.com/RTWRetailwinds/.
B. Riley FBR, an affiliate of B. Riley Financial, Inc. (NASDAQ: RILY), is serving as the investment banker to the Company; Cole Schotz P.C. is serving as its legal advisor; and Berkeley Research Group, LLC is serving as its restructuring advisor.
About RTW Retailwinds
RTW Retailwinds, Inc. (together with its subsidiaries, the "Company") is a specialty women's omni- channel retailer with a powerful multi-brand lifestyle platform providing curated fashion solutions that are versatile, on-trend, and stylish at a great value. The specialty retailer, first incorporated in 1918, has grown to now operate approximately 328 retail and outlet locations in 32 states while also growing a substantial eCommerce business. The Company's portfolio includes branded merchandise from New York & Company and Fashion to Figure. The Company's branded merchandise is sold exclusively at its retail locations and online at www.nyandcompany.com, and www.fashiontofigure.comand through its rental subscription businesses at www.nyandcompanycloset.com and www.fashiontofigurecloset.com.Additionally, certain product, press releases and SEC filing information concerning the Company are available at the Company's website: www.nyandcompany.com.
