Bought back from bankruptcy by Authentic Brands Group, Simon Property Group Inc. and Brookfield Property Partners LP, Forever 21 is employing all the tricks in the book to revive the fast-fashion chain.
The new owners plan to appoint a new chief executive officer and keep about 448 of the brand’s U.S. stores open.
They are already in talks with three potential CEO candidates and a final name will be announced soon.
Owing to the heavy online competition, Forever 21 filed for bankruptcy. They lost $10 million a month in Canada, Europe, and Asia. However, Stateside sales were relatively strong, according to court papers filed in Wilmington, Delaware.
The new owners rescued in the final hour and paid $81 million and assumed some liabilities with the purchase.
The plans to revive back with global expansion include launching or expanding existing jewellery, footwear, and handbag lines, Authentic CEO Jamie Salter said. Salter conceives “multiple” collaborations with various brands, both his own and outside ABG.
“You could do a Juicy collab with Forever 21 in five minutes—it’s a perfect match. You could do Marilyn Monroe with Forever 21, you could do Elvis Presley with Forever 21,” Salter said, referring to other ABG brands.
The new owners propose to keep the headquarters in Los Angeles and work with new and existing partners to expand in Europe, South America, China, the Middle East, and Southeast Asia; while converting stores from company-owned to licensed partnerships in Latin America, the Caribbean, and the Philippines.
Salter said, “The research we did showed a massive passion for the brand all over the world. They really had a true customer who loves the brand.”