Marquee Brands' proposal to take over Destination Maternity's intellectual property and other assets, and liquidate the retailer's stand-alone stores, emerged as the winning bid after Destination Maternity canceled an auction, according to court papers. The bid is subject to court approval and will be considered at a hearing scheduled for Dec. 12.
Destination Maternity entered bankruptcy in late October with 436 stores as its turnaround efforts failed and the retailer ran out of money to pay its landlords and vendors. The retailer had plans at the time to close nearly half its footprint but keep the rest of its stores operating as it looked to sell itself in bankruptcy. . . more