0.10.2009 19:24 Escada calls off Primera sale as new bidder emerges
FRANKFURT, Oct 30 (Reuters) - Insolvent German luxury fashion house Escada on Friday called off the sale of its mid-price fashion unit Primera to financial investor Mutares as a new, more attractive bidder emerged, Escada said on Friday.
Escada agreed in May to sell three out of four Primera brands -- Laurel, Apiori and Cavita -- to Mutares at a hefty writedown as part of a broader restructuring programme, which in the end failed because of an unsuccessful bond swap.
Escada filed for insolvency in August and has since been looking for an investor for the group.
On Friday, Escada said it would withdraw from the contract with Mutares, citing problems with the closing.
It had also received a better offer for Primera from financial investor Endurance Capital, proposing a higher price and a more attractive concept for the unit, a spokesman for Escada said.
Mutares said in a statement that it had already made significant progress in the turn-around of Primera.
(Reporting by Eva Kuehnen; Editing by David Cowell) Keywords: ESCADA/PRIMERA
(eva.kuehnen@thomsonreuters.com; +49 69 7565 1244; Reuters Messaging: eva.kuehnen.reuters.com@reuters.net)
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