West Marine Files Bankruptcy, Giving Lenders Owed $251 Million Path to Take Control
Updated
Updated · Bloomberg · May 18
West Marine Files Bankruptcy, Giving Lenders Owed $251 Million Path to Take Control
1 articles · Updated · Bloomberg · May 18
West Marine sought Chapter 11 protection after striking a restructuring deal that lets it market the business in court or cede ownership to lenders owed $251 million.
Weaker sales drove the filing as inflation curbed spending on outdoor recreation and several years of severe weather further hurt boating demand.
The 58-year-old retailer said the bankruptcy is aimed at cutting debt and closing additional stores while it pursues a buyer.
If no sale emerges under court protection, the creditor agreement would hand control of the boating-supply chain to its lenders.
Did private equity debt, not just inflation, ultimately sink America's largest boating retailer?
With more people enjoying the outdoors, why are specialty gear retailers suddenly going bankrupt?