Saks Global Nears $1.25 Billion Bankruptcy Financing Amid Leadership Change

Saks Global is advancing negotiations for bankruptcy financing after missing a large debt payment and experiencing a leadership transition. The company is also considering competing loan offers as it addresses ongoing financial challenges.

The bondholder group, which includes Bracebridge Capital and Pentwater Capital, has proposed a $1.25 billion bankruptcy financing package for Saks Global. Pimco has submitted a separate loan offer valued at $1.5 billion to support the company through the bankruptcy process. These developments follow a missed interest payment exceeding $100 million at the end of December 2025.

Saks Global is in discussions to secure a debtor-in-possession loan of up to $1 billion, which would include at least $750 million in new funds and a roll-up of existing debt. The company missed a $100 million debt interest payment in December 2025, which contributed to the current financial situation. In August 2025, Saks Global completed a debt restructuring that involved $600 million in new financing and a $2.2 billion note exchange.

Amid these financial developments, CEO Marc Metrick resigned from his position. Executive Chairman Richard Baker has taken over leadership of the company. The leadership change occurred during a period of financial instability for Saks Global.

What the numbers show

• Saks Global posted a 13% sales decline in the quarter ending August 2025
• The company reported a $288 million net loss for the same quarter
• The missed interest payment due December 30, 2025, exceeded $100 million
• August 2025 debt restructuring included $600 million in new financing

Saks Global was formed in July 2024 through the merger of Saks Fifth Avenue and Neiman Marcus under Hudson’s Bay Company. The merger also brought Bergdorf Goodman and Saks Off 5th under the same corporate structure. However, the combined entity did not achieve a stronger market position following the merger.

The company’s recent financial results showed a 13% drop in sales and a net loss of $288 million in the quarter ending August 2025. These figures reflect ongoing challenges in the luxury retail sector for Saks Global and its associated brands.

In addition to the missed debt payment, Saks Global’s efforts to secure new financing include talks for a debtor-in-possession loan of up to $1 billion. This loan would consist of at least $750 million in new capital and a roll-up of existing obligations, according to reports.

The company’s financial difficulties have prompted multiple parties to offer bankruptcy financing. While the bondholder group is finalizing a $1.25 billion package, Pimco has also presented a $1.5 billion loan proposal. Both offers are intended to support Saks Global as it moves through bankruptcy proceedings.

* This article is based on publicly available information at the time of writing.