The private-equity firm that backed out of a deal to buy Victoria’s Secret in the midst of the coronavirus pandemic appears poised to win an auction to buy JCPenney out of bankruptcy, The New York Post reported. Sycamore Partners has offered $1.75 billion to buy the 118-year-old department store chain with plans to merge it with Belks. Sycamore sees JCPenney helping to revive Belks, a struggling department store chain with 300 stores located mostly in the South. Sycamore owns Belks, as well as retailers Talbots, Staples and The Limited. Also in the running for JCPenney is Saks Fifth Avenue owner Hudson’s Bay Company, which offered $1.7 billion, and mall operators Simon Property and Brookfield Property, which have teamed up with a $1.650 billion offer. While the deal is still subject to approval from the court as well as from JCPenney’s lenders, creditors and board, Sycamore has been in the lead since bids were due on July 22.
