Textile major S Kumars is all set to acquire Hartmarx, one of the last remaining American clothing manufacturers and better known for
dressing President Barrack Obama, for $119 million.
Hartmarx, the men’s largest formal wear clothing company in US, had recently announced that 50 of its wholly-owned US subsidiaries had filed for protection under the local bankruptcy code.
A consortium of S Kumars Nationwide (SKNL) and its operating partner emerged winners after a competitive bidding process which was conducted to achieve the highest possible value for Hartmarx’s stakeholders.
In a press note, SKNL today said that its US subsidiary along with the operating partner have successfully bid for the acquisition of Hartmarx Corporation.
"The United States Bankruptcy Court for the Northern District of Illinois on June 26 approved the sale of substantially all of the assets of Hartmarx Corporation for a total transaction value of about $119 million," the press note said.
The transaction is expected to close during July 2009.
Source: Economic Times