(Reuters) - Dov Charney's American Apparel is a staple of urban hipsters around the world for its colorful T-shirts, spandex leggings and other edgy, "Made-in-USA" retro apparel.
But what the company could really use is a suit -- that is, a button-down, business grown-up type to complement the outspoken, volatile Charney, according to a growing number of people on Wall Street.
Investors' patience with Charney, a self-described hustler and the company's founder and CEO, is waning as the eccentric apparel visionary finds himself in troubled financial situations time and time again, they say.
And yet, Charney may have pulled himself and the company out of another hole, by negotiating a key debt revision with its main lender. Sources close to the company said they fully expect American Apparel (APP.A) and its main backer, British-based private equity firm Lion Capital, to reach an agreement that will prevent the company from a looming debt covenant breach.
- Companies:
- American Apparel
- People:
- Dov Charney
%0D%0ABut%20what%20the%20company%20could%20really%20use%20is%20a%20suit%20--%20that%20is,%20a%20button-down,%20business%20grown-up%20type%20to%20complement%20the%20outspoken,%20volatile%20Charney,%20according%20to%20a%20growing%20number%20of%20people%20on%20Wall%20Street.
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%0D%0AInvestors'%20patience%20with%20Charney,%20a%20self-described%20hustler%20and%20the%20company's%20founder%20and%20CEO,%20is%20waning%20as%20the%20eccentric%20apparel%20visionary%20finds%20himself%20in%20troubled%20financial%20situations%20time%20and%20time%20again,%20they%20say.
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%0D%0AAnd%20yet,%20Charney%20may%20have%20pulled%20himself%20and%20the%20company%20out%20of%20another%20hole,%20by%20negotiating%20a%20key%20debt%20revision%20with%20its%20main%20lender.%20Sources%20close%20to%20the%20company%20said%20they%20fully%20expect%20American%20Apparel%20(APP.A)%20and%20its%20main%20backer,%20British-based%20private%20equity%20firm%20Lion%20Capital,%20to%20reach%20an%20agreement%20that%20will%20prevent%20the%20company%20from%20a%20looming%20debt%20covenant%20breach.%0D%0A%0D%0Ahttps%3A%2F%2Fwww.printandpromomarketing.com%2Faggregatedcontent%2Famerican-apparel-lender-may-offer-lifeline%2F" target="_blank" class="email" data-post-id="16473" type="icon_link"> Email Email 0 Comments Comments