It appears to be the re-shuffling of many pieces of a puzzle. And at the end, some are lost. In other words, Escada managed to save itself with no outside help, but up to a point. The German brand filed for bankruptcy in September, or rather it was Escada SE, a subsidiary, to do so. Now something is moving and the owner of the entire brand is mobilizing: Regent.
Escada managed to save itself with no outside help
Regent, to save the brand, bought some of Escada SE’s assets, while other sections of the group, such as brand rights, are owned by another company and thus didn’t declare themselves insolvent and Regent managed to maintain ownership. Other parts of Escada’s business are split between the USA and England, further complicating the operation and making Regent the only possible savior.
Up to a point
In the end, Regent directly purchased a portion of Escada SE’s activities, such as a store (in Munich) of the total 8. All other “non-relevant activities”, including the remaining 7 stores, will close at the end of February 2021. The operation will cost 100 of the total 180 jobs that the stores created, but the brand, points out Fashion United, will continue selling its products through other retailers.
Escada had already filed for bankruptcy in 2009. The company was then sold to Indian entrepreneur Megha Mittal, who then resold it to Regent in 2019. Esca makes leather footwear and handbags in Italy.
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