Owner of Hickey Freeman, Hart Schaffner Marx files for bankruptcy

Written By Unknown on Sabtu, 20 Oktober 2012 | 16.47

Fri Oct 19, 2012 2:14pm EDT

Oct 19 (Reuters) - HMX Acquisition Corp, the firm behind clothing brands Hickey Freeman and Coppley, filed for Chapter 11 bankruptcy protection on Friday in a Manhattan court.

The company, best known for tailoring suits under the Hart Schaffner Marx brand for U.S. Presidents, also sought court approval for a 'stalking horse bid' from Authentic Brands Group LLC.

A stalking horse bid gives the bidder first preference over a bankrupt company's assets and sets a minimum threshold for further bids.

HMX listed assets of less than $50,000 and liabilities of between $50 million to $100 million in the filing. It listed Pacificways Ltd, Conde Nast and others among its largest unsecured creditors.

The company's brands, which include Christopher Blue and Sansabelt, are sold at well-known retailers like Dillard's Inc and Nordstrom Inc.

HMX said its existing lender, Salus Capital, would provide it with a $65 million debtor-in-possession facility to continue operating its business during the bankruptcy.

The Canadian affiliates of the company have not sought bankruptcy protection, HMX said.

The case is In re: HMX Acquisition Corp, U.S. Bankruptcy Court, Southern District of New York, No:12-14300.

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