Saks Global Cleared to Exit Chapter 11 as Reorganization Plan Cuts Debt by 75%

U.S. luxury department store group Saks Global announced on June 5 that it has received approval of its Plan of Reorganization from the U.S. Bankruptcy Court for the Southern District of Texas. The company is expected to emerge from Chapter 11 bankruptcy proceedings within the coming weeks and move forward with its business transformation under a strengthened financial foundation.

Summary

Saks Global is one of the leading luxury retail groups in the United States, comprising Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, and Saks OFF 5TH, following the completion of its integration at the end of 2024.

The court-approved reorganization plan received support from the overwhelming majority of participating creditors and is expected to significantly strengthen the company’s financial position upon its emergence from Chapter 11.

Debt Reduction and Long-Term Growth Targets

According to the company, total debt is expected to be reduced by approximately 75% upon completion of the restructuring process, providing the liquidity necessary to support ongoing operations and future growth initiatives.

As part of its long-term strategy, Saks Global plans to accelerate growth through a greater emphasis on full-price selling and has outlined targets of generating $9 billion in GMV and achieving double-digit adjusted EBITDA by fiscal year 2030.

Geoffroy van Raemdonck, Chief Executive Officer of Saks Global, said: “Securing approval of our Plan is an incredible achievement for Saks Global, and the broad-based support we have received from our capital partners, brand partners and other key stakeholders reflects confidence in our future.”

“With our capital partners’ commitment and the dedication of our talented team, we are on track to emerge as a stronger, more focused company, poised for profitable and sustainable growth. I firmly believe in Saks Global’s enduring role as a leader in the luxury retail ecosystem, delivering exceptional experiences for customers and serving as the premier gateway to the U.S. luxury consumer for our brand partners.”

Van Raemdonck also expressed confidence that the company is well positioned to help shape the future of luxury retail.

Major Business Transformation Over the Past Five Months

During the restructuring process, Saks Global has undertaken a series of strategic initiatives aimed at creating a more sustainable business model.

These efforts include strengthening its financial foundation through an improved capital structure, deepening relationships with brand partners, and optimizing both its store footprint and supply chain network.

On the retail side, the company has focused on its highest-performing stores located in markets with strong concentrations of luxury consumers. It has also continued to invest in its e-commerce platforms and remote selling capabilities to support its integrated retail model.

In addition, Saks Global has streamlined the majority of its off-price business to prioritize luxury and full-price selling, while restructuring its corporate organization to align with its long-term strategy.

Signs of Improving Sales Performance

The company reported that sales across its go-forward store fleet have continued to improve, supported by stronger customer engagement driven by increased inventory availability.

Brandy Richardson, Chief Financial Officer of Saks Global, commented: “With significantly reduced debt on the Company’s balance sheet at emergence and having already achieved substantial cost savings through the optimization of our footprint, operations and organization, our business is well positioned for future success.”

Richardson also expressed appreciation for the support of the company’s capital partners and brand partners, noting that Saks Global is positioned to drive sustainable and profitable growth following its restructuring.

Copyright © 2026 Oui Speak Fashion. All rights reserved.

The post Saks Global Cleared to Exit Chapter 11 as Reorganization Plan Cuts Debt by 75% appeared first on Oui Speak Fashion (OSF)®.