Filene's Basement Status Still Uncertain

HOUSTON-Men’s Wearhouse teamed up with New York City’s Crown Acquisitions to make another run at Filene’s Basement on Friday. According to the Boston Herald, however, the new partnership will have to wait until 5:00 p.m. on Wednesday, June 17, when a new bankruptcy court hearing has been scheduled.

All of this comes in the wake of a motion filed less than a week ago by Crown Acquisitions, which alleged that Men’s Wearhouse had violated court-ordered bidding procedures when it won the initial auction on June 5. Crown Acquisitions had been named the “stalking-horse bidder” lined up by Filene’s Basement in the original auction, and had set an original bid of $22 million.

Last Wednesday, a Delaware bankruptcy court judge ordered the re-opening of the auction. The Boston Herald reports that the auction resumed on Friday, with locally based Men’s Wearhouse joining forces with its former rival to make a new offer of just under $65 million for the bankrupt Filene’s Basement. Bidding continued through this morning, the Boston Herald added.