Japan’s Renown Inc., best known for its D’Urban and Arnold Palmer apparel brands, filed for bankruptcy in May and is facing liquidation, according to reports.
Sources told the Japan Times that there is a possibility that its apparel brands will be sold to different firms and that the more than the 100-year-old firm will face liquidation as a result.
The bankruptcy filing, attributed to department store closings tied to the pandemic, listed ¥13.9 billion ($130 million) in debt. Renown said it was struggling to collect more than ¥5 billion ($45.2 million) in debts from its Chinese parent, Shandong Ruyi. Its top executives were recently voted out of its board by the parent firm.
On Thursday, Renown said Sumitomo Mitsui Banking Corp. had set a ¥2 billion credit line for the firm, to help negotiations with a sponsor company proceed smoothly.
Photo courtesy Nikkei Asian Review
