The company that has given Pier 1 imports, dressburn and model sporting goods a second chance in life is adding another monstrous retailer to its empire: Stein Mart.
Miami-based retail ecommerce ventures have emerged victorious in a bankruptcy court auction for the intellectual property of Stein Mart, the company announced Wednesday. It will pay .0 6.02 million for the Stein Mart nameplate, as well as its private-label brands, domain names, social media assets and other customer data.
Stein Mart, Jacksonville, Florida, filed for Chapter 11 bankruptcy protection in August Gust, but eventually all of its 281 stores closed.
RVV, founded last year by chief executive Alex Mehr and executive chairman Tai Lopez, plans to resume business with F-Price Apparel and Home Goods with a choice of Ross stores, home goods, marshals and Burlington stores as online. Just store early next year.
The -f-price sector of the United States benefits those shoppers who enjoy the thrill of digging through a trader’s iles throat to find deals. But the Kovid epidemic dealt a major blow to these retailers, including Stein Mart, which was already struggling with debt growth. Then in the spring, when the temporary store closed, its sales dried up.
R.V.V. Expect the F-Price retailers to rebound strongly after the Covid-19 vaccine becomes widely available. And Wall Street seems to share this sentiment, as stocks of price-to-price retailers are throbbing. Shares of TJX companies have risen 27% compared to a month ago, while shares of Ross have risen 30%. Shares of Burlington have risen nearly 14% in the past month.
“Any time you see a big, 800-pound gorilla rival like TJ Maxx, you know they’re doing something right,” said Lopez of RVV. “We want a version to be the type of online version.”
However, -f-price retailers have been slow to shift online to online. Marshalls, owned by TJX, did not launch the website until last year. And last month, TJX said it would add an e-commerce mercer site to its HomeGoods furniture chain in 2021.
By tapping the loyal base of Stein Mart customers in the Southeast, Texas, Arizona and California, Lopez hopes to fit into this growing digital landscape, Lopez said.
“It’s multiple,” he said. “Stein Mart is definitely well known.”
The advantage of REV is its e-commerce experience. It has built a portfolio of declining retail brands and given them new life on the internet.
There are many brands to choose from, as the Kovid epidemic has overtaken many retailers that were already struggling with bankruptcy. REVA Pier 1 imported e-commerce business and purchased trademark assets of the model’s sporting goods. He is also the owner of Dressburn, Linen’s Ann Things, Collections retailer Franklin Mint and UK-based bookseller The Book People.
In November, it bought the rights to the Radioshake brand, for an undisclosed amount, along with its respective websites in the United States, Canada, India, Australia, Australia, Europe and China.
REV said its brands now produce more than 1 1 billion a year.
“I’ve always been a big fan of Warren Buffett, and his strategy of getting things already against the building from the start,” Lopez said, “and in 2019, we started seeing writing on the wall with the so-called retail revelation.”
RVV to bid on distressed retailers. Not alone. But for now, it just sticks with online online-deals.
“We haven’t gone too far down the road of brick and mortar ca fig,” Lopez said. “There’s a lot to do online. Look at Amazon.”
As such, it differs from the apparel-licensing company Ntic Thantic Brands Group, which this year partnered with Simon Property Group, the largest U.S. owner, to buy the bankrupt Lucky Brand and Brooks Brothers. ABG also owns a brand like Juicy Kochhar, and licenses it to sell in other retail stores.
Lopez said he is looking at other deals, and hopes to have acquisition opportunities after the holidays.
“Retailers are going to look at their holiday numbers, and they have all these leases left,” he said. “There will be blood on the streets again, no doubt about it.”
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