Forever 21 Is in Talks to Give Landlords a Stake in Bankruptcy
- Founder Chang would retain some ownership in the retailer
- Two largest mall operators already teamed to buy Aeropostale
Photographer: Andrew Harrer/Bloomberg
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Forever 21 Inc. is in discussions to give a stake in the company to its two largest landlords as part of a restructuring that would allow co-founder Do Won Chang to retain a share, according to people familiar with the matter.
The ailing fast-fashion retailer is in talks with Simon Property Group Inc. and Brookfield Property Partners LP about the proposal, which would be part of a bankruptcy filing, said the people, who asked not to be identified discussing a private matter. The negotiations are ongoing, and could end without a deal, they said.