Wet Seal brand to be revived?

Wet Seal was acquired at a bankruptcy auction by a firm that plans to rebuild the brand.



Gordon Brothers announced it is acquiring the Wet Seal brand and its related intellectual property. The transaction is pending final court approval.



The acquisition includes the other brands within the Wet Seal portfolio, including Arden B, Blink, Chic Boutique and several others.



Wet Seal filed for Chapter 11 bankruptcy protection in February 2017, with liabilities between $50 million and $100 million.



“Despite the increasing challenges facing teen retailers, we at Gordon Brothers strongly believe in the long-term viability of the category,” said Ramez Toubassy, president, brands, Gordon Brothers. “Our plan for Wet Seal is to rebuild and reposition the brand and develop a unique new business model to best position it for future success.”



Gordon Brothers’ past investments include Sharper Image, which it bought out of bankruptcy and later sold to Iconix Brand Group, Linens ‘N Things and Polaroid.



According to a report by theLas Vegas Review-Journal, Gordon Brothers won the auction with a $3 million bid.