Express Inc., the clothing retailer that is a staple of U.S. malls, has filed for bankruptcy with plans to sell, according to Bloomberg.
The company received an offer from brand manager WHP Global and mall owners Simon Property Group Inc. and Brookfield Properties to buy the company’s operations and most of its stores, according to a statement issued Monday. The company will use the bankruptcy process to facilitate the sale.
WHP Global, based in New York and backed by Ares Management Corp. owns a portfolio of commercial brands including Toys “R” Us, Isaac Mizrahi and Rag & Bone. The company owns a 60% stake in the Express commercial brand through a joint venture established in 2023.
Express, based in Columbus, Ohio, plans to close about 95 of its more than 500 retail stores. The company said in its statement that it “will continue to evaluate its store footprint” and is working with A&G Realty Partners in that process.
Court documents filed in Delaware listed liabilities and assets of between $1 billion and $10 billion each. The Chapter 11 filing allows Express to continue operating while it finds a way to make repayments.
The 40-plus-year-old company was once a top destination for Millennials looking for affordable office and casual wear. But in recent years, it has faced a decline in revenue as it struggles to compete with fledgling online brands and changing consumer preferences. Last year, Express reported that it had hired outside consultants to help cut costs, just weeks after agreeing to buy menswear brand Bonobos Inc. together with WHP Global.
It is the latest in a long line of bankruptcies in the retail industry, including 99 Cents Only Stores earlier this month and the Joann Inc. chain. on March.
