Luxury retailer Saks Global On Friday, it announced it would operate under a new name after emerging from bankruptcy after reducing its number of stores and reducing debt.
The company – which is the parent company of notables retail brands including Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman – will operate under the new name Exemplar Luxury Group (ELG) and focus on luxury retail.
“Moving forward as Exemplar Luxury Group reflects the shared ideals that drive each of our banners and our commitment to setting the standard of excellence for luxury retail across all three,” said CEO Geoffroy van Raemdonck.
“As the gateway to America’s luxury customer base, we unite coveted brands with unparalleled customer experiences to drive growth for Exemplar Luxury Group and the broader luxury ecosystem,” he added.
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Saks Global is renamed Exemplar Luxury Group following its bankruptcy and restructuring. (Mike Segar/Reuters)
The company said the restructuring it underwent during the bankruptcy The process allowed it to eliminate 75% of its previous debt, while the process also wiped out its equity and reduced the number of its stores.
It emerged from bankruptcy with 49 stores after closing 62 of its off-price locationsincluding 57 of its Saks OFF 5th and its five Neiman Marcus Last Call stores.
The company also closed 12 Saks Fifth Avenue stores in March, as well as three Neiman Marcus stores. It had entered bankruptcy with 33 Saks Fifth Avenue locations.
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The renowned company is the parent company of brands including Neiman Marcus. (Noam Galaï/Getty Images)
During the restructuring, Saks Global ended its partnership with Amazon sell its products on the e-commerce platform during the restructuring after facing resistance from luxury brands about selling on a mainstream site.
Saks Global’s $2.7 billion merger with Neiman Marcus in 2024, which was orchestrated by the company’s former CEO, aimed to create a luxury powerhouse but saddled Saks with debt as global sales of luxury goods slowed — a dynamic that complicated an already difficult turnaround.
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The restructuring saw the parent company close off-price sites like Saks OFF 5th. (Jeff Greenberg/Education Images/Universal Images Group via Getty Images)
After experiencing weak sales for more than a year as its debt grew, Saks filed for bankruptcy in January with $3.4 billion in debt, including more than $337 million owed to essential suppliers like Chanel and Kering, the owner of Gucci.
The company received approval for a billion-dollar investment bankruptcy loan in February and planned to use $600 million of that funding to cover supplier payments.
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ELG’s new board will include two representatives each from investment firms Pentwater Capital Management and Bracebridge Capital that partnered with the company during the restructuring process.
Reuters contributed to this report.