American Apparel LLC has resumed talks with at least two potential bidders for the U.S. teen clothing retailer, after bankruptcy sale negotiations with brand licensor Authentic Brands Group LLC stalled earlier this week, Reuters reported yesterday. American Apparel is looking for a buyer as it prepares for its second bankruptcy in as many years. The company is discussing a bankruptcy sale to brand licensor Sequential Brands Group Inc. and financial services company B. Riley Financial Inc., among others. American Apparel had been close to agreeing to a sale to Authentic Brands earlier this week and it remains interested. If American Apparel does not come to an agreement with a buyer, it will file for bankruptcy and run a sale process after. The company said on Tuesday that it was winding down its operations in the U.K. Any potential deal to sell its business in the U.S. must ensure that American Apparel continues to manufacture in that country, despite cheaper alternatives overseas.
