Budrul Chukrut/SOPA Images/LightRocket via Getty ImagesThe retail sector has been plagued by bankruptcies due to the ongoing coronavirus pandemic.
Sparc, a joint venture between Authentic Brands Group and mall operator Simon Property Group, has acquired Brooks Brothers and Lucky Brand and plans to keep at least 125 Brooks Brothers locations and "key" Lucky Brand store locations open. Companies acquiring struggling brands, whether bankrupt or not, generally see potential in brands that customers have felt a connection to over time. They think they can revive these brands and ultimately drive sales by improving their product assortment, amping up their marketing, or, in some cases, rightsizing their store portfolio.
has been on a tear as of late, snatching up Pier 1 Imports, Modell's, and Dressbarn after those brands were set to liquidate this year. Its acquisition efforts are funded by the cofounders' personal capital as well as by investments from a group of high-net-worth individuals.
Any other ‘zombie’ brands any of you guys can think of....? 🧐
We've got a window into their org chart right here: