The Pine Centre location of Ricki's will stay open while the fate of the mall's Bootlegger store remains uncertain.
Ricki's and Bootlegger announced last month that their parent company, Comark Holdings Inc., had entered a period of creditor protection.
However, the struggling retail chains may have just been given a lifeline by Putman Investments Inc., the company behind Toys "R" Us, HMV, and Sunrise Records.
An Ontario court has recently approved the sale of the brands to Putman Investments. The purchase, valued at approximately $12.8 million, includes Ricki's inventory, furnishings, intellectual property, trademarks, and select store leases.
This acquisition aligns with Putman Investments' business model, as the company has frequently purchased struggling retail brands like Sunrise Records and Toys "R" Us, with the aim of turning them into more profitable ventures.
Some store closures may still occur, as the court ruling suggests that Putman Investments will be "reducing its footprint."
However, the Ricki's location at Pine Centre will be spared from downsizing. An employee told The Citizen that since Putman Investments took over the chain, the store has renewed its lease and will not face closure.
Putman Investments has not yet decided whether to purchase the Bootlegger brand, which has one location at Pine Centre. Comark Holdings is now exploring other options to sell the clothing brand.
Currently, Warehouse One has emerged as a potential buyer, with a stalking horse bid. This means Warehouse One has set the initial bid for any competing offers.
Interested parties have until Thursday to submit competing bids. If no other offers are made, Comark will seek court approval to sell Bootlegger to Warehouse One.
Warehouse One plans to maintain only 25 of Bootlegger's 53 stores, leaving the future of the Prince George location uncertain until a final decision is made.
An employee of Bootlegger told The Citizen that a decision on store closures and the sale of the chain will be made within the next month.
