The Ontario Superior Court has approved the sale of Bootlegger. This popular apparel retailer, founded in 1971, is now about to join Winnipeg-based Warehouse One Clothing Ltd., an affiliate of its parent company. This decision comes as part of Comark’s creditor protection proceedings, which saw Bootlegger’s business placed on the market for potential buyers. Successful bid of $14.4 million sale price.
Bootlegger, for example, runs 53 standalone stores and co-tenancies with Ricki’s and Cleo in 19 locations. During the sale process, multiple entities expressed interest in buying the brand. Despite strong interest in the company, not one of the interested parties submitted a bid. This refusal to act opened the door for Warehouse One to purchase the beleaguered company.
The approval from Judge Peter Cavanagh paves the way for Warehouse One to develop Bootlegger per its original plans. The purchaser has now made successful settlements with Bootlegger’s landlords. Doing so provides the retailer the ability to preserve 45 of its leases at locations nationwide. This strategic decision is hoped to lead to an easier and uninterrupted widespread resumption of service.
Thousands of workers at Bootlegger stores will get layoff notices. Whatever dwindling cohort is ultimately retained will get permanent job offers with Warehouse One right away. This new setup is designed to keep staff disruption to a minimum while they form new business ownership structure.
The over 50 years of Bootlegger’s history has made it one of the most well-known and trusted brands in the Canadian retail landscape. With the backing of Warehouse One, the brand hopes to navigate through its current challenges and continue serving its customer base effectively.
