Investor Group Announces $300 Million Offer to Acquire American Apparel

(AP) — An investor group wants to buy American Apparel for about $300 million and bring back the clothing chain’s founder and former CEO Dov Charney. Charney was fired from American Apparel in 2014 following allegations that he had violated the company’s sexual harassment policy. Charney denied those charges. The investors, Hagan Capital Group and Silver Creek Capital Partners, said Monday that they have submitted a bid. American Apparel said in a statement Monday that it evaluates all bids and that it is focusing on emerging from bankruptcy protection. The Los Angeles company filed for Chapter 11 bankruptcy protection in October. Most Read Stories Seahawks Game Center promoSeahawks Game Center: Complete postgame playoff coverage after Seattle Seahawks edge Minnesota Vikings in wild-card showdown nullListen: Two very different radio calls of Vikings kicker Blair Walsh's missed field goal against Seahawks (Rich Boudet / The Seattle Times)The sports world reacts to Seahawks' wild win over Minnesota Vikings Marshawn Lynch’s stunning decision not to play Sunday raises more questions about his future with Seahawks Seahawks 10, Vikings 9: What the national media are saying about Seattle's close call, chances vs. Cam Newton, Panthers Unlimited Digital Access. $1 for 4 weeks. Hagan Capital Group and Silver Creek Capital Partners said Charney has a business plan that would improve American Apparel, which has faltered since he left. American Apparel, which Charney founded in 1998, sells its clothing in 218 stores around the world.

"American Apparel is a proven viable business model that needs to be scaled from a sales point of view and should not be in bankruptcy. If the Company is not turned around it will be a pointless loss of American manufacturing jobs. We strongly urge the creditors to evaluate and accept our offer," stated Chad Hagan, Managing Partner of Hagan Capital Group.

1e5-85cd-5ad59bc19432-20160111-story.html

https://amers2.apps.cp.thomsonreuters.com/web/pdfReuters/htmlnews/8knews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:2016-01-11:MKW_20020408:1238177

http://www.bloomberg.com/news/articles/2016-01-11/charney-backers-manage-more-than-2-billion-feel-he-was-wronged