Forever 21 looks into restructure

AVA SZAJNA-HOPGOOD | June 6, 2019

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Fast fashion chain Forever 21 is thought to be in talks to plan its next steps around restructuring, with the possibility of the business seeking bankruptcy. The US-based retailer is speaking to potential lenders and public equity firm Apollo Global Management about debtor-in-possession (DIP) financing. DIP financing is a form of aid provided for companies in financial stress typical during restructuring under corporate bankruptcy law. Sources close to the discussions told Bloomberg the business is looking into financing that would shore up its liquidity and ensure founder Do Won Chang maintains control of the company. “Forever 21 is speaking with our lenders in the normal course of business and are in compliance with all of our agreements and continue to operate as usual,” the company said via email to Bloomberg.

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HOK

HOK is a global design, architecture, engineering and planning firm. Through a network of 23 offices worldwide, HOK provides design excellence and innovation to create places that enrich people's lives and help clients succeed. DesignIntelligence consistently ranks HOK as a leader in sustainable, high-performance design and technology innovation.

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