Home / Business and Economy / Saks Global Files for Bankruptcy, Stores Remain Open
Saks Global Files for Bankruptcy, Stores Remain Open
14 Jan
Summary
- Saks Global filed for bankruptcy protection on January 13, 2026.
- A $1.75 billion financing package aims to keep stores operational.
- High debt from the pandemic and competition led to the collapse.
Saks Global, a prominent US luxury retail group, initiated bankruptcy protection proceedings in the U.S. Bankruptcy Court for the Southern District of Texas on January 13, 2026. The company's financial struggles stem from significant debt accumulated due to the COVID-19 pandemic and escalating competition from online retailers and direct-to-consumer brand sales.
Despite the bankruptcy filing, Saks Global announced that its stores would continue to operate following the finalization of a $1.75 billion financing package. This crucial funding, including a $1 billion debtor-in-possession loan, aims to provide immediate liquidity. Geoffroy van Raemdonck, formerly of Neiman Marcus, has been appointed as the new CEO, replacing Richard Baker.
The luxury retailer's assets and liabilities are estimated to be between $1 billion and $10 billion. The court process is designed to facilitate debt restructuring or the potential sale of the company. Several major luxury brands, including Chanel and Kering, are listed among Saks Global's unsecured creditors, highlighting the interconnectedness of the high-fashion industry.
