Retail brand manager Bluestar Alliance (New York) plans to acquire bankrupt Dutch fashion retailer Scotch & Soda (Amsterdam) for an undisclosed price.
The acquisition by Bluestar will allow for the continuation of the brand and its products across key markets including the Netherlands, the companies said.
“Bluestar continues to strategically build its portfolio and we see Scotch & Soda as a unique fit, widely known for its roots in Amsterdam and celebrating self-expression with a modern twist on timeless fashion pieces,” said Bluestar Alliance CEO Joseph Gabbay, whose company’s portfolio of consumer brands includes Hurley, Bebe, Tahari, Justice, Brookstone, Kensie, Catherine Malandrino, Nanette Lepore, English Laundry, Joan Vass and Limited Too.
Scotch & Soda filed for bankruptcy last week, citing financial distress caused by the pandemic and other factors. Assuming the buy by Blue Alliance closes as expected in the next few weeks, Scotch & Soda will continue its activities in select markets. Blue Alliance said further details on store closings and any layoffs will be disclosed once the deal is finalized.
Jasper Berkenbosch, attorney at law firm Jones Day and trustee of the bankrupt entities, says “we are happy that we were able to make this announcement following the bankruptcy. We have seen quite some interest from parties to acquire some of the bankrupt assets. The proposal of Bluestar Alliance was by far the best deal for all stakeholders involved.”
Scotch & Soda operates 253 freestanding stores across Europe, North America, Asia, the Middle East, Africa and Australia. Blue Star currently has about 300 licensees and a branded retail platform of more than 100 stores worldwide.