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Financial PR firm Reevemark is handling the Chapter 11 filing of Payless ShoeSource, which is liquidating 2,500 stores in the US and Canada and tossing 16,000 people out of work with the end of May completion of the retail wind-down.
Stephen Marotta, who took the Payless chief restructuring officer post in January, said management worked diligently with suppliers and partners to “position for the future amidst significant structural, operational and market challenges.”
That effort fell short, which Marotta blamed, in part, on the 2017 reorganization of Payless, which left it with “too much remaining debt, too large a store footprint, and a yet-to-be realized systems and corporate overhead structure consolidation.”
Payless will continue to operate 420 stores in 20 countries.
Golden Gate Capital and Blum Capital took Payless private in a $1.3B deal in 2012. Alden Global Capital is the current majority owner.
Five Sard Verbinnen & Co executives launched Reevemark last year.
Reevemark’s Paul Caminiti, Hugh Burns, Delia Cannan and Molly Curry work the Payless revamp.
Interpublic posted a 5.1 percent drop in Q3 net revenues to $2.5B as CEO Philippe Krakowsky reports the final financial results of the publicly traded company.
Joele Frank handles Pine Gate Renewables as the Asheville, NC-based solar power development company declares Chapter 11 in the aftermath of Donald Trump’s cuts to wind & solar tax credits.
Stagwell CEO Mark Penn reports Q3 net revenues jumped 6 percent to $614.5M, a record performance for a non-political period. Operating income soared 45.7 percent to $60.9M.
Joele Frank works for Klöckner Pentaplast as the German maker of plastic films declares Chapter 11. A successful reorganization would slash its its corporate debt by $1.5B.
Teneo represents Metsera, the New York City biotech focused on weight-control products, which is subject to a bidding war between heavyweights Novo Nordisk and Pfizer.
