New York-based fashion retailer Nine West Holdings has acquired the Canadian branch of its business from a struggling licensee.
According to a release issued today, the company acquired all of the operations owned by Sherson Group Inc., which filed for bankruptcy protection in July after it amassed mounting debt. This includes $19 million to Nine West Holdings, to the extent that it could no longer afford to purchase sufficient quantities of merchandise for the coming fall season.
No store closures are planned at this time and the company plans on retaining all 549 of its existing exmployees.
“Under the terms of an asset purchase agreement that was consummated today, a newly formed subsidiary of Nine West Holdings has acquired approximately 45 store leases and certain contracts related to Sherson’s business operations,” reads the release.
“The Company expects to continue operating the retail locations and to offer continued employment to a majority of Sherson’s employees.”
Sherson also owned Easy Spirit and Anne Klein – retail brands that are now under the ownership of Nine West Holdings.