37 minutes ago | By Petah Marian
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Ever since Nasty Gal, the womenswear retailer announced it was filing for bankruptcy at the end of 2016, news has been gathering about who in the retail world might be interested in buying the brand’s assets. Now retail rumours are emerging of a real candidate, Boohoo.com.
Update Feb 9 2017:
Online fashion retailer Boohoo has confirmed that it has received court approval to acquire certain intellectual property assets and customer databases from failed retailer Nasty Gal Inc for $20m.
The transaction, “subject to the satisfaction of customary closing conditions waivable at the group’s discretion”, is expected to complete on February 28.
Mahmud Kamani and Carol Kane, joint boohoo CEOs, said: “We are delighted to have been successful in our bid to acquire Nasty Gal. It represents an exciting opportunity to accelerate our international offering and inspire an ever-growing range of young customers in the US and around the world.”
Reports said Boohoo last year filed a certificate of incorporation of a private limited company for Nasty Gal at Britain’s Companies House.
This legal document seems to suggest that the UK mass-market young fashion retailer is considering buying the assets of the failed US peer. Boohoo’s shares rose on the speculation, although neither was available for comment at the time.
Nasty Gal, founded by Sophie Amoruso in 2006, filed for Chapter 11 bankruptcy protection last year with Amoruso resigning as executive chairman at the same time. Nasty Gal was Amoruso’s first business venture, which she started as a bootleg eBay shop selling old vintage clothes and building a retail community through her Myspace channel, before creating the NastyGal.com e-commerce site, and writing a book called #GIRLBOSS about her successful entrepreneurial career. Before the brand announced bankruptcy, it has 10 years of successful trading and cool capsule collections with pop-rock star Courtney Love.
Online retailer Boohoo saw pre-tax profits leap 129% in its most recent half-year on the back of sales up 40%.
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