New York City Bankrupt retailer Sharper Image Corp. will be sold to a joint venture of private investment groups, according to Reuters.
The joint venture led by Toronto-based investment firm Hilco Consumer Capital and a unit of Boston-based liquidation firm Gordon Bros. said it had won its so-called stalking-horse bid for the retailer of high-end gadgets and appliances. In a stalking-horse bid, the bankrupt company chooses the entity from a pool of bidders to make the first bid for its assets.
The firms said they had developed a licensing strategy for the Sharper Image brand and will partner with several global institutions to continue development of the company.
Stephen Miller of Gordon Brothers Brands said, “We envision this to be a terrific opportunity to transform a tier-one, iconic American brand into a global, multi-channel platform of diverse and unique consumer products using leading technologies and trend-setting innovations. This reflects the core transformational competencies of the joint venture partners and we look forward to working with new licensees to grow the brand worldwide and in multiple categories.”
Windsong Brands and Crystal Capital also partnered to buy the retailer through the bid.
The company had put itself up for sale last month after filing for Chapter 11 bankruptcy protection in February, saying a sale was the best route given the weak U.S. economy and tight credit.