NEW YORK (Reuters) – Retailer Everything But Water, which sells swimwear in 70 stores in 26 U.S. states, filed for bankruptcy late on Wednesday, saying it had tried to restructure but economic conditions were too tough.
In court documents, the company listed assets of $58 million and liabilities of $35 million.
The Florida-based company, which opened in 1984, was bought in April 2006 by Bear Growth Capital Partners, part of Bear Stearns Merchant Banking.
It is now owned by JP Morgan Chase, which bought Bear, D.B. Zwirn Special Opportunities Fund and 12 other individuals.
D.B. Zwirn, the company’s primary secured lender, will set the floor bid in a planned sales process, the company said.
The company is seeking a $5 million bankruptcy loan, or debtor-in-possession financing, from D.B. Zwirn on an interim basis and $11 million on a final basis.
The case is: In re Everything But Water LLC, U.S. Bankruptcy Court, District of Delaware, No. 09-10649. (Editing by Ted Kerr)