ABG and Partners Buy Aéropostale

Teen fashion retailer to stay in business under new ownership following a bankruptcy auction earlier this month.

Authentic Brands Group, General Growth Properties and Simon Property Group have finalized the acquisition of apparel and accessories brand Aéropostale.

ABG, GGP and SPG formed a consortium to acquire the brand earlier this month during a bankruptcy auction that closed with a $243.3 billion bid, according to Fortune.

“This consortium brings a new approach to brand development and Aéropostale brings another facet to ABG’s fashion portfolio,” says Jamie Salter, chairman and chief executive officer, ABG. “The purchase of Aéropostale propels the retail revenue driven by ABG’s brands to over $4.5 billion in retail sales worldwide. We look forward to working closely with our new partners, General Growth Properties and Simon Property Group to continue to grow the Aéropostale brand on a global scale.”

Aéropostale will continue to be available in more than 700 retail locations around the world, with more than 400 stores located in the U.S. and Canada as well as approximately 300 locations in Latin America, Europe, the Middle East and Southeast Asia.

“Aéropostale has significant brand equity and the go-forward portfolio of stores generates more than $1 billion in global retail sales, more than $800 million of which is from the U.S.,” says Sandeep Mathrani, chief executive officer, GGP. “The entity is financially secure and well capitalized and we are very pleased that thousands of jobs will be preserved.”

"We are pleased to be part of this consortium that has saved thousands of jobs and preserved a legendary American brand," says David Simon, chairman and chief executive officer, SPG. "We are encouraged by the tremendous amount of support we have received from employees, vendors and other landlords."