California-based retailer Quiksilver has been working on putting a reorganization plan in motion. The surfwear and action sports brand has a hearing set for January 27 in U.S. bankruptcy court. The reorganization plan is now up to creditors to decide before mid-January, according to WWD.
The company filed for bankruptcy earlier this year in September as a part of a deal with their new owner, Oaktree Capital Management. The bankruptcy was a result of underperforming retail stores as well as late deliveries to wholesalers, according to Quiksilver’s CFO Andrew Bruenjes. So far, the company has been implementing plans and restructured ideals to exit the bankruptcy.
The company’s creditors, as reported by WWD, estimate the enterprise value of the company approximately between 499 million and 602 million dollars. The estimation is based on an analysis of the company’s reorganization plan by Peter J. Solomon Co. Currently, the creditors have until January 14 to cast their ballots on the reorganization plan for the company.