Accessories retailer Charming Charlie LLC has outlined its reorganization plan, which would see the company taken over by its lenders, WSJ Pro Bankruptcy reported. Before seeking chapter 11 protection earlier this month, Charming Charlie had reached a restructuring pact with its lenders and backers, which include private-equity firms TSG Consumer Partners and Hancock Park Associates. Under the proposed plan, the lenders and backers would swap their debt for equity and control of the company. The plan not only includes “the significant reduction” in debt and interest payments, but also new liquidity, which includes a $20 million bankruptcy loan, $50 million exit term loan, and a $35 million exit asset-backed revolver, according to court papers.
