Saks Global Secures $500 Million Commitment for Summer Bankruptcy Exit

Saks Global has secured $500 million in exit financing from a group of its senior secured bondholders and expects to emerge from Chapter 11 this summer.

The luxury retailer expects to file a plan of reorganization within weeks, it said in a Thursday (April 3) press release.

Saks Global CEO Geoffroy van Raemdonck said in the release that the bondholders’ commitment shows the progress the company has made and the confidence they have in its go-forward vision.

“As we advance the restructuring process and position Saks Global for the future, our focus remains on strengthening our brand partner relationships, and delivering an expertly curated product assortment and personalized service for our luxury customers across Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman,” van Raemdonck said.

Saks Global brought these brands together in December 2024 when, as the parent company of Saks Fifth Avenue, it completed its acquisition of Neiman Marcus Group, which owned Neiman Marcus and Bergdorf Goodman. The company said it aimed to establish a “technology-powered retail company.”

The firm declared bankruptcy and appointed van Raemdonck as CEO in January. It was reported at the time that Saks Global’s acquisition of NMG had put it deeper in debt and that it faced complaints from suppliers about missed payments.

In the Thursday press release, Saks Global said that since filing for Chapter 11, it has strengthened its brand partner relationships and seen more than 650 brands resume shipping merchandise; improved its inventory receipts by 18% year over year; and gained year-over-year increases of 6% increase in customer spend per store visit and 11% in online conversion.

Upon its planned emergence from Chapter 11, the company expects to have a stable financial foundation, an integrated retail model that includes an optimized store footprint and distinct eCommerce platforms, a curated product assortment supported by stronger relationships with brands, deep insights on the shopping preferences of tens of millions of luxury customers and an employee base with expertise in luxury fashion, per the release.

“While it will take time to fully realize the benefits of this progress, our sales and inventory results continue to outperform our internal plans,” van Raemdonck said. “This, along with the committed capital we have secured, provides us with sufficient liquidity to complete a successful restructuring and advance our ongoing transformation to secure a strong future for Saks Global.”