Another prominent retailer has its back up against the wall and will be forced to file for Chapter 11 bankruptcy protection. Reuters is reporting that BCBG Max Azria is filing for bankruptcy and will like close most if not all North American stores.
The Reuters article highlights the fact that financial and legal advisors are working with the retailer. It’s very likely that BCBG’s intellectual property will be of significant interest and should attract many bids.
Like so many retailers, BCBG has faced stiff competition from online retailers and shifts in how customers shop. This results in too large of a retail footprint for BCBG, who just hasn’t been able to make their retail stores successful as of late.
With external compettion from large scale department stores, and customers fast fashion or luxury preferences, the high-mid retailers are getting squeezed out.