Neiman Marcus Exploring ‘Strategic Alternatives’ For MyTheresa
While Neiman Marcus has not yet made a decision on a specific transaction or time frame for its MyTheresa e-Commerce business, the retailer is exploring a range of strategic alternatives, according to Bloomberg.
Neiman Marcus has been clashing with bondholders over the fate of MyTheresa. The retailer transferred shares of the e-Commerce site to an independent corporate entity held by Neiman's private equity owners in March 2018, making them not subject to the same rules under credit agreements as other units of the company.
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However, Marble Ridge Capital LLP opposed the move, threatening legal action and saying that there is “reason to believe the company will be unable to pay its debts as they come due.” Marble Ridge has urged the retailer to sell MyTheresa.com to pay down debt, and criticized the latest announcement as an attempt to keep assets out of creditors’ reach.
MyTheresa produced $312 million in sales during the nine-month period ended March 31, according to the filing. The unit could be valued at $500 million in a sale, according to Bloomberg Intelligence.