A couple of weeks ago, we reported that the Canadian women’s retailer, JACOB, had filed for bankruptcy. The Montreal-based retailer has been under creditor protection since 2010 and has underwent operational restructuring, but was unable to secure new financiers or to make the business profitable since then. Over the last couple of weeks, JACOB has been liquidating 92 of their Canadian stores, but it looks like JACOB is getting a second chance!
On July 21st, the Financial Post reported that The Superior Court of Quebec has extended the creditor protection for the womenswear retailer until August 22nd. The month will be used to develop a restructuring plan that will help obtain financing and keep some JACOB retail locations open. The number of stores that will stay open and their locations are unknown at the moment, but we’ll report back soon.