Will Saks Fifth Avenue close due to bankruptcy?

No, Saks Global is securing $1.75 billion in financing to keep Saks Fifth Avenue, Bergdorf Goodman, and Neiman Marcus stores open during its Chapter 11 reorganization.

What is a debtor-in-possession (DIP) loan for Saks Global?

A DIP loan is a type of financing that allows a company to continue operating while in bankruptcy, covering expenses like salaries and vendors.

When is Saks Global expected to file for bankruptcy?

Saks Global plans to file for Chapter 11 bankruptcy imminently, potentially as soon as Tuesday, January 14, 2026.

Home / Business and Economy / Saks Near $1.75B Deal to Keep Stores Open

Saks Near $1.75B Deal to Keep Stores Open

14 Jan

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Summary

Saks Global nears $1.75 billion financing from creditors.
Financing includes $1 billion via debtor-in-possession loan.
Bankruptcy filing is possible, potentially as soon as Tuesday.

Saks Near $1.75B Deal to Keep Stores Open

Saks Global is reportedly close to finalizing a substantial $1.75 billion financing package with its creditors. This agreement is poised to ensure that its renowned luxury department stores, including Saks Fifth Avenue, Bergdorf Goodman, and Neiman Marcus, can continue to operate during a period of debt and operational reorganization. The company is preparing to file for Chapter 11 bankruptcy protection, with indications that this could happen imminently, potentially as soon as Tuesday.

The proposed financing features a significant $1 billion debtor-in-possession (DIP) loan, primarily from an investor group including Pentwater Capital Management and Bracebridge Capital. This DIP loan is critical for providing an immediate cash infusion, enabling Saks Global to cover ongoing expenses such as salaries and vendor payments, and to restock depleted inventory. An additional $250 million in financing would come from an asset-backed loan provided by the company's banks.