It would be an interesting move for both companies as Amazon is looking for ways to expand their apparel offering and Forever 21 is interested in American Apparel’s brand name. The one interesting aspect of the potential acquisitions is that it seems no one is interested in picking up AA’s retail locations.
American Apparel still has great brand recognition, and it will be interesting to see if acquired what the new direction of the company will be. At the very least American Apparel has excellent manufacturing and distribution capabilities and could potentially be a solid asset for any company looking to acquire the former Giant. It seems as if American Apparel’s biggest problems centred around upper management and with that removed the company could experience success in the future with a new direction.