Anchor Blue Emerges From Bankruptcy
A few months after filing for bankruptcy, teen-clothing retailer Anchor Blue is out of the red.
Private-equity firm Sun Capital Partners announced on Aug. 26 that it had completed a deal through its Anchor Blue Holding Corp. affiliate to acquire the Anchor Blue division of the Anchor Blue Retail Group, which at one time included outlet stores. That means that Anchor Blue’s 113 stores, located primarily in the Southwest, will stay in business.
An affiliate of Sun Capital, based in Boca Raton, Fla., will have controlling interest. Sun Capital also owns Columbus, Ohio–based Limited Stores.
Anchor Blue filed for Chapter 11 bankruptcy protection in May, closing about 50 stores and selling its 73 Levi’s and Dockers outlets back to San Francisco–based Levi’s for $72 million.
Moving forward, the retailer will be known as Anchor Blue Inc. The retailer, based in Ontario, Calif., did not reveal details of the deal.
“We are stronger and more competitive than ever with a lean cost structure and substantial operating leverage, and we look forward to working with our vendors to help us continue to provide our customers with the quality clothing and value they expect from Anchor Blue Inc.,” said Thomas Sands, the retailer’s president and chief executive, in a statement.
Anchor Blue used to be known as Miller’s Outpost. In the late 1990s, it changed its name to reflect its own brand of clothing sold in their stores.—Deborah Belgum
