Belk Inc., the department store chain owned by Sycamore Partners, is talking with creditors about easing its almost $2.4 billion debt load and has tapped law firm Kirkland & Ellis and investment bank Lazard Ltd. for advice.
Belk and its advisers are huddling with holders of the retailer’s debt – which includes first-lien and second-lien securities – according to people with knowledge of the matter. Options could include a debt-for-equity exchange and new financing, according to the people, who asked not to be named discussing private negotiations.
Discussions are in the early stages and plans could change, according to the people.
Usually there is a quid quo pro in these deals. What it may be? You can be sure it involves stores, staff and such.
BUT wait you say! Sycko has $2b to purchase Office Depot. LOL. Trying to offload Belk maybe?
It's all a game of 3 card monte, where only the dealer wins.