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By
Reuters API
Published
Feb 19, 2020
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Forever 21 snapped up by mall owners, Authentic Brands

By
Reuters API
Published
Feb 19, 2020

Forever 21 has a new lease on life after Simon Property Group Inc , Brookfield Property Partners LP and Authentic Brands Group agreed to acquire the bankrupt teen fashion retailer.


Forever 21 / Reuters




Brand management company Authentic Brands said on Wednesday it and mall owner Simon Property would own 37.5% each of the retailer, while Brookfield Property would buy 25% of the intellectual property and operating businesses.

Financial terms of the deal were not disclosed.

Forever 21, which has 815 stores in 57 countries, will continue to operate in U.S. and international markets, Authentic Brands said.

Forever 21 filed for Chapter 11 bankruptcy protection in September, making it another victim of the rising popularity of online shopping and changing fashion trends dictated by millennial shoppers.

The retailer's current, owned store operations in Central America, South America, Mexico, the Philippines, and the Caribbean would be converted to a licensed partnership model.

The new owners are also working with existing and new partners to expand Forever 21 across key territories, including South America, China, the Middle East and India, Authentic Brands said.

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