Beauty Brands, LLC, along with two subsidiaries and affiliates, has filed a petition for relief under chapter 11 in the Bankruptcy Court for the District of Delaware (Lead Case No. 19-10031). Beauty Brands, based in Kansas City, Mo., operates specialty beauty stores providing spa and salon services through 58 retail locations across twelve states, and retails third-party branded beauty products through its stores and its e-commerce platform. According to the First Day Declaration, Beauty Brands has filed as a result of the industry headwinds facing brick and mortar retailers. The First Day Declaration further explains that Beauty Brands intends to pursue a post-petition marketing process for a group of “core” stores in which third-party purchasers have expressed interest and have engaged Hilco Merchant Resources, LLC to conduct closing sales for its remaining brick and mortar locations. Beauty Brands is also seeking approval for $9 million in debtor-in-possession financing to be provided by its pre-petition secured lenders, with PNC Bank, NA serving as administrative agent. Donlin Recano is the proposed claims and noticing agent. The cases have been assigned to the Honorable Christopher S. Sontchi.
Contact Norman L. Pernick, G. David Dean or Myles R. MacDonald for more information regarding this matter.