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American Apparel Lenders Boost Takeover Bid, Countering Charney

Submitted by jhartgen@abi.org on

American Apparel Inc. signed a new deal with senior lenders and lower-ranking creditors to put $40 million more into the retailer once it exits bankruptcy, Bloomberg News reported yesterday. The lenders and the company announced the settlement with the last group of creditors that had been opposing their plans the same day two funds backing company founder Dov Charney — Hagan Capital Group and Silver Creek Capital Partners — said that they were boosting their offer to buy American Apparel out of bankruptcy to $300 million.