Is Forever 21 on its way out the door? The fast-fashion chain is reportedly in talks with potential lenders and restructuring advisors in an effort to turn around the business.
Bloomberg reported that Forever 21 is exploring financing that would support its liquidity and ensure founder Do Won Chang maintains control. The company has also spoken with Apollo Global Management about lining up debtor-in-possession financing if it were to seek bankruptcy protection, according to Bloomberg.
Forever 21 operates hundreds of stores in the U.S., Europe, Asia and Latin America and first opened in Los Angeles in 1984 as Fashion 21.
Forever 21 would join a long list of mall-based retailers that have filed bankruptcy or shuttered altogether in the past few years, including Gymboree, Toys R Us, Abercrombie & Fitch and Chicos.
Business Insider reported that Forever 21 closed several international stores in recent years, including pulling out of China in April.