ABC Carpet & Home to be acquired

[ad_1]

Day-to-day retail operations for ABC Carpet & Home are expected to continue as usual while the company enters a stalking horse agreement with 888 Capital Partners.

NEW YORK — Top 100 retailer ABC Carpet & Home will likely have a new owner soon.

As indicated in an Oct. 21 filing with the U.S. Bankruptcy Court for the Southern District of New York, an agreement is in place for the assets of the bankrupt retailer to be acquired by 888 Capital Partners, a stalking horse bidder and the only entity to submit a qualified bid by the bid deadline.

As a result, an auction scheduled for this week was canceled. Instead, a sale hearing is slated to be held Oct. 27 at 10 a.m. ET to approve the transaction.

“This acquisition by 888 Capital will help us expand our reach, attracting new customers as well as providing exciting merchandise for our loyal following. It’s the next chapter for ABC Carpet & Home, and we look forward to an exciting future,” CEO Aaron Rose said in a statement received by Furniture Today.

Reports from the New York Post say that Paulette Cole, part of the family that founded the brand which has been in business since 1897, has a minority stake in 888 Capital Partners. The report also says that the investment fund is controlled by Regal Investments LLC.

ABC Carpet & Home filed for Chapter 11 bankruptcy in early September. According to reports from Bloomberg, it listed $50 million in assets and $100 million in liabilities at the time of the filing.

The pandemic forced ABC Carpet & Home to shutter its flagship store and an outlet store in Brooklyn for several weeks starting in March 2020. The store normally draws about a million visitors a year and is a destination location for the city. The array of products available includes not only carpets and rugs, but also furniture, textiles, gifts and accessories, antiques, and bed and bath items.

Perry Mandarino of B. Riley Securities is facilitating the sale with Oscar Pinkas and Ari Newman of Greenberg Traurig serving as counsel to ABC Carpet & Home. Fred B. Ringel and Adam Greene of Robinson Brog are serving as counsel to 888 Capital Partners LLC, and BRG is serving as financial advisor.

ABC Carpet & Home ranks No. 66 in Furniture Today’s 2021 Top 100 listing with $113.8 million in sales across two stores in 2020.

Thomas Lester is Digital/Managing Editor for Home Accents Today and Retail Editor for Furniture Today. A graduate of Emory & Henry College’s Mass Communications program, Lester spent a dozen years working for newspapers in Virginia and North Carolina covering an array of subjects, ranging from community news, government, education, ACC sports, professional baseball and more before joining Home Accents Today in 2013. Reach out to me with your story ideas, tips and more at [email protected].



[ad_2]

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *