Latest news with #ReshmiBasu
Bloomberg
3 days ago
- Business
- Bloomberg
Saks Reveals $100 Million Loss in No-Questions Creditor Call
By , Reshmi Basu, and Irene Garcia Perez Save Saks Global Enterprises told creditors it had an adjusted loss of more than $100 million last fiscal year, one day after it announced a $350 million financial lifeline ahead of a looming coupon payment. The luxury retailer has $275 million in overdue payments to suppliers, management told bondholders in a Friday call where it also shared figures from the 12-month period ended Feb. 1, according to people with knowledge of the call's contents. Combined with results from recently acquired Neiman Marcus, the company recorded $161 million in adjusted earnings last year, Saks reported.
Bloomberg
08-05-2025
- Business
- Bloomberg
Private Equity Firms Send Some Lenders to the Back of the Queue
Hi, it's Reshmi Basu in New York, reporting on how some lenders to private equity firms are getting bumped to the back of the queue. Also today, Abu Dhabi wealth fund Mubadala builds a $20 billion private credit portfolio. Today's top stories
Mint
21-04-2025
- Business
- Mint
SK Capital-Backed Chemical Business Ascend Files Bankruptcy
(Bloomberg) -- Ascend Performance Materials Inc., a chemicals business backed by SK Capital Partners, has filed bankruptcy and said it intends to restructure with support from its lenders. Houston-based Ascend and its corporate affiliates sought court protection Monday in Texas listing assets and liabilities each of between $1 billion and $10 billion on its Chapter 11 petition. Ascend said the bankruptcy filing will allow the business to trim debt from its balance sheet while continuing to operate as usual. Company lenders have agreed to provide $250 million in Chapter 11 financing to support Ascend during the restructuring process. The company said it expects to complete its restructuring in about 6 months. Ascend said its non-U.S. subsidiaries are not included in the Chapter 11 filings. The bankruptcy filing follows discussions between the company and its lenders to swap out a portion of their debt for equity in the business which has been strapped for cash, Bloomberg previously reported. Some lenders also agreed in March to provide Ascend with new rescue financing, Bloomberg also reported. SK Capital Partners bought Ascend from Solutia Inc. in 2009 for about $54 million. Ascend then grew rapidly, buying facilities in Europe and China, using capital from a small pool of investors. Ascend has previously said it is holding talks with lenders to strengthen its finances and maximize value for tis stakeholders. 'Over the last several months, we have been working with our lenders to define the best path forward for Ascend,' Ascend President and Chief Executive Officer Phil McDivitt said in a Monday statement. 'We expect that the restructuring will substantially reduce Ascend's funded debt obligations and ensure that we are well-positioned to continue executing on our long-term strategy.' --With assistance from Reshmi Basu. More stories like this are available on First Published: 22 Apr 2025, 01:54 AM IST
Bloomberg
17-04-2025
- Business
- Bloomberg
Trade War Is Driving Retailers Nuts, Says Alix's Etlin
Tariff chaos has tossed retailers into a crisis similar to Covid in 2020, leaving them unable to plan ahead, according to AlixPartners, the financial advisory and global consulting firm. 'It's a little crazy and retailers are canceling orders,' Holly Etlin, a partner at the firm and restructuring veteran, tells Bloomberg News' Reshmi Basu and Bloomberg Intelligence's Stephen Flynn in the latest Credit Edge podcast. There's a 'real crisis, everybody going nuts,' she added, referring to pricing, inventory and shipping decisions that retailers are trying to make. Etlin also discusses the impact of elevated bankruptcy costs, the outlook for more coercive liability management exercises, how retailers are using asset-based loans as a lifeline and the turnaround of Tailored Brands.
Bloomberg
11-02-2025
- Business
- Bloomberg
Shein's Growth is Hurting Discount Retailers as Store Closures Surge
Welcome to The Brink. I'm Reshmi Basu, a reporter in New York, where I've been reporting on the headwinds facing discount retailers. We're also looking at a missed bond payment by a Chinese car dealer, the latest at WeightWatchers and a downgrade at Altice International. Follow this link to subscribe. Send us feedback and tips at debtnews@ The rise of Shein and Temu is hurting America's discount stores, with rising competition and the looming threat of tariffs denting bricks and mortar retailers targeting low income consumers. 'Amid wider 'noise' around consumption and consumer caution, we believe the pressure on some nonfood retailers from the rapid growth of low-price cross-border retailers and marketplaces is being underappreciated,'' said John Mercer, head of global research for Coresight Research, which estimates the cross-border retailers generate $100 billion plus in combined sales globally. 'While Shein is widely known for fashion, it now incorporates a meaningful home and general merchandise offering, which we expect to increase as it grows its marketplace component.' Discount store closures rose almost 360% to 1,754 last year, according to data compiled by Coresight, making the category the biggest source of shuttered shops in the period. Nashville-based Bargain Hunt is the latest discounter to succumb to financial strain with plans to shutter more than 90 of its locations as part of last week's Chapter 11 filing. Meanwhile, Dollar Tree is seeking a strategic review for Family Dollar after closing hundreds of those stores last year. Options include a potential sale, spin-off or other disposition of the business, according to public disclosures.
