In full transparency, the following is a press release submitted to SOURCE through its business wire service.
NATICK – David’s Bridal, LLC, the nation’s leading bridal and special occasion authority, yesterday, April 17, announced that the Company and certain of its subsidiaries filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code (“Chapter 11”) in the United States Bankruptcy Court for the District of New Jersey (the “Court”).
The Company expects to file a recognition proceeding in Canada and a subsidiary of David’s Bridal expects to commence an administration proceeding for its business in the United Kingdom.
David’s Bridal stores remain open, and the Company intends to continue operating in the ordinary course, including by fulfilling all customer orders without disruption or delay.
Additionally, the Company’s online platforms, including its Pearl platform and vendor marketplace, remain available and accessible to brides for their wedding planning needs. Further, members of Diamond, the Company’s industry-leading loyalty program, can continue to derive value by earning and redeeming rewards, and the Company intends to continue honoring gift cards, returns, and exchanges at this time.
To uphold its commitments to customers, employees, and partners, the Company is seeking customary “first day” relief from the Court, including authorization to continue payment of employee wages and benefits, maintain certain customer programs, and honor obligations to critical vendors.
Prior to today’s announcement, David’s Bridal initiated an evaluation of a wide range of strategic alternatives to maximize value for all stakeholders, including a marketing and sale process for its assets. In light of its liquidity constraints, the Company was unable to finalize its marketing and sale process out of court and intends to continue exploring a sale of all or some of its assets pursuant to section 363 of the Bankruptcy Code.
Alongside these efforts, the Company is also strategically managing inventory and evaluating its physical footprint to maximize value and the prospect of a successful going concern transaction.
James Marcum, Chief Executive Officer of David’s Bridal, said, “Over the last several years, we have taken meaningful strides in our transformation to fulfill the needs of the brides of today and tomorrow. We have successfully modernized our marketing and customer interaction processes and driven our retail service levels to best in class. Nonetheless, our business continues to be challenged by the post-COVID environment and uncertain economic conditions, leading us to take this step to identify a buyer who can continue to operate our business going forward. We are determined to stay focused on our future, because we believe we have an important role in ensuring that every bride, no matter her budget, can have her perfect dress.”
“We are grateful to the seven decades of brides and customers who have trusted us with the most special events of their lives, as well as to the dedicated associates and valued partners who make our customers’ dreams come true. We remain as committed as ever to providing excellent service, delivering for our brides and customers, and being part of magical moments.”
There is a store in Natick.
Additional information regarding the Company’s Chapter 11 process is available at https://omniagentsolutions.com/DavidsBridal.
Stakeholders with questions may call the Company’s Claims Agent Omni at (888) 482-0174 or (747) 293-0079 if calling from outside the U.S. or Canada, or email davidsbridalinquiries@OmniAgnt.com.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal counsel, Houlihan Lokey Capital, Inc. is serving as investment banker, BRG is serving as financial and restructuring advisor, Osler, Hoskin & Harcourt LLP is serving as Canadian legal counsel, C Street Advisory Group is serving as strategic communications advisor, and Omni Agent Solutions is serving as claims and noticing agent to the Company. David’s Bridal has retained Gordon Brothers to assist with inventory sales.
With 70 years of experience dressing customers for all of life’s special occasions, David’s Bridal is built on the idea everyone deserves to have the attire of their dreams regardless of style preference, shape, size, or budget.