Bombay’s future looks smaller
The Bombay Company Inc. could begin to close down its network of almost 400 stores in the U.S. if a bankruptcy judge approves the bid submitted by Gordon Brothers Retail Partners LLC and Hilco Merchant Resources LLC.
It’s also unclear what might happen with the retailer’s e-commerce operations, which include BombayCompany.com, BombayKids.com and BombayOutlet.com. “We are still sorting through that detail and we are unable to comment right now,” says Bombay chief financial officer Elaine Crowley.
On Friday Bombay, No. 277 in the Internet Retailer Top 500 Guide, announced that Gordon and Hilco had submitted the winning bid in an auction for the company’s U.S. business operation. Gordon Brothers is a Boston private equity and debt financing company. Hilco, based in Northbrook, IL, acquires, invests or facilitates the merger of retail operations.
If the deal is approved by the U.S. Bankruptcy Court for the Northern District of Texas, the bid could include the liquidation of Bombay’s U.S. stores. A hearing on the bid will likely be held this week, says Bombay. If the court approves the bid, Gordon and Hilco intend to begin store closing sales at Bombay`s U.S. locations next week, the retailer says. Gordon, Hilco and Toronto home furnishings retailer Benix & Co. also intend to continue the operation of Bombay’s Canadian operation.
The bid for the U.S. assets does not include Bombay’s assets U.S. intellectual property rights or its real estate assets, the retailer says.
Bombay filed for bankruptcy protection in September.
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