Court Approves British Company’s Bid for Bankrupt Nasty GalMonday, January 9, 2017
The U.S. Bankruptcy Court of the Central District of California approved a $20 million stalking horse bid by British e-commerce clothing company Boohoo.com to buy the intellectual property and customer databases of clothing company Nasty Gal on Jan. 6.
Other companies may still submit bids through Feb. 2. Their bids would have to be at least $21.15 million, court documents indicate.
An auction will be held on Feb. 7. If there are no other bids, the sale to Boohoo will proceed.
Boohoo had announced its bid for Nasty Gal, which filed for bankruptcy in November, last month.
The British company has said that buying the intellectual property of Nasty Gal, which includes its large social media following and customer databases, will help Boohoo expand to the United States.
The deal will ensure that the Nasty Gal brand continues, and will fetch the highest price for the company, Nasty Gal said in a statement when the stalking horse bid was first announced.