Steptoe Advises on Acquisition of Retailer Hartmarx

August 7, 2009

Steptoe & Johnson LLP have advised Kumars Nationwide Limited, a public Indian corporation, and Emerisque Brands UK Limited on the acquisition of all of the assets of Chicago-based suitmaker Hartmarx corporation.

Hartmarx, owns many well-known US brands including Hickey-Freeman, Hart, Schaffner and Marx, Misook, Monarchy and also gained fame more recently for making President Obama's suits. The company had filed for Chapter 11 bankruptcy in January and proceeded to solicit bids in a "Section 363 asset sale" under the bankruptcy code. The business included several manufacturing facilities and many retail outlets around the US and the final purchase price for the acquisition was $128 million.

The acquisition took several months of negotiations and bankruptcy court proceedings. Steptoe & Johnson fielded a large cross-departmental team of Corporate, Bankruptcy, Employment, Immigration, IP, Real Estate and Tax lawyers spanning six different offices (Chicago, Los Angeles, Century City, London, New York, Phoenix, and Washington DC). Michael Rennock (New York) led this transaction.