Pursuits
Teen Retailer Rue21 Files for Bankruptcy as Stores Close
- Apax-backed company is latest casualty of U.S. mall meltdown
- Chain began closing about 400 underperforming stores in April
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Rue21 Inc., the teen clothing chain controlled by private equity firm Apax Partners, filed for bankruptcy in Pennsylvania, the latest casualty of changing consumer habits.
The company filed for Chapter 11 bankruptcy in the Western District court late Monday, seeking up to $125 million in debtor-in-possession financing from its existing lenders to fund the firm’s operations during the proceedings, it said in a statement.