Belk Fast Tracks Bankruptcy as New Investors Give Sycamore Partners a Second Chance
Posted on 02/24/2021
Belk, Inc. is an American department store chain founded in 1888 by William Henry Belk in Monroe, North Carolina. Charlotte-based Belk will file for Chapter 11 bankruptcy on February 24 in an effort the company hopes will reduce debt by about US$ 450 million. The company’s majority owner is Sycamore Partners. Sycamore Partners is a private equity firm based in New York specializing in consumer and retail investments. The department store company entered a Restructuring Support Agreement. The agreement allows Sycamore Partners to retain control of Belk and provide US$ 225 million to keep the store going. KKR Credit (KKR), Blackstone Credit (Blackstone Group), and other participating lenders will become minority owners in the company.