July 24, 2023
David's Bridal finalized its sale to CION Investment Corporation on Monday in a deal that keeps up to 195 stores open and spares 7,000 jobs nationwide, the companies said.
The wedding wear chain, based in Conshohocken, sold "substantially all" of its assets to CION, which also has holdings in pharmaceutical and aerospace companies. Under the terms of the deal, CION has invested $20 million in the growth of David's Bridal and assumed "certain" bankruptcy liabilities.
The deal allows David's Bridal to avoid a complete shutdown of its 300 stores in the U.S., Mexico and Canada.
"Today's announcement marks the beginning of David's next era, and with CION's partnership fully solidified, we are excited to continue to serve brides and customers well into the future," Jim Marcum, CEO of David's Bridal, said in the release.
David's Bridal filed for bankruptcy in April just days after announcing mass layoffs affecting more than 9,000 workers. According to the WARN notice filed with the Pennsylvania Department of Labor & Industry, the layoffs were expected to roll out in three phases between April and August, impacting 15 locations in the state — including shops in Bucks, Delaware and Montgomery counties.
David's Bridal also declared Chapter 11 bankruptcy in 2018, but recovered the following year.