Saks Global secures 500 million dollars in funding to support restructuring

Luxury retail group Saks Global has unlocked 500 million dollars of funding to support operations and transformation plans under its ongoing bankruptcy process.

The financing is an initial tranche of a 1.75 million dollar committed capital the company secured when it filed for Chapter 11 protection with a Texas court last week.

Saks said the funding will enable go-forward payments to brand partners and the acceleration of inventory flow.

It comes after a court hearing last week, when it was determined that the company would be able to continue operations as normal, including payroll and fulfillment obligations.

In a statement, Geoffroy van Raemdonck, who was appointed CEO in the wake of the bankruptcy filing, said: “Access to this significant capital is instrumental as we work to strengthen our financial foundation and best position Saks Global for the future.”

He continued: "Saks Global continues to play a distinct and enduring role in the luxury retail industry and, through this process, we will have the opportunity to build a more resilient company, primed for lasting financial and operational stability."

Under his guidance, van Raemdonck has set out to renew Saks Global’s focus on curated assortments, brand partner relationships, and customer commitment.