Saks Global, the owners of luxury retailers Saks Fifth Avenue and Bergdorf Goodman, filed for bankruptcy Wednesday due to a mountain of debt from the company’s recent acquisition of Neiman Marcus.
The private company filed for Chapter 11 bankruptcy in federal court in Texas, stating it had secured $1.75 billion in financing to continue operating during the process.
Established in 1867 and long a marquee name in high-end fashion, Saks has struggled in recent years as more shoppers move online. The company took a big swing in December 2024 with its $2.65 billion acquisition of Neiman Marcus but continued to flounder.
Saks also announced a new CEO for the bankruptcy process, appointing former Neiman Marcus CEO Geoffroy van Raemdonck. He will take over for Richard Baker, who held the job for just two weeks. Baker had replaced Marc Metrick, who had led the company since 2021.
“In close partnership with these newly appointed leaders and our colleagues across the organization, we will navigate this process together with a continued focus on serving our customers and luxury brands,” van Raemdonck said in a statement.
Saks Global stores will remain open through the bankruptcy process, the company said. There are 33 Saks stores, 36 Neiman Marcus stores, about 70 Saks Off 5th discount stores and two Bergdorf Goodman stores — across the street from each other in Manhattan.
Saks’ attempt to create a luxury powerhouse with the Neiman Marcus acquisition backfired as industry-wide sales continued to slump.
Another historic luxury retailer, Canada’s Hudson’s Bay Company, liquidated its entire operation in 2025. Hudson’s Bay owned the Saks Fifth Avenue brand for about a decade before spinning off its American operations as Saks Global in November 2024.
With News Wire Services
