GGST's newest partner: Franco

New York — Franco Mfg. may emerge as the real winner of yesterday's Pillowtex auction, perhaps taking away some of the home textiles industry's best known brands.

GGST LLC, the original stalking horse bidder, emerged victorious last night after posting a $128 million offer — $72 million more than it originally agreed — for substantially all of Pillowtex's assets. In the end, it outbid another liquidation joint venture headed by PT Partners and The Peters Company by just $500,000.

But GGST, originally a consortium of four companies brought together for Pillowtex's asset liquidation, yesterday had a fifth member — Franco — brought to the table at the eleventh hour by the creditors' committee, explained committee attorney Mark Indelicato, a partner in Hahn & Hessen, New York. Franco was with GGST throughout the auction and in the closed-door caucuses to counter competitive bids, Indelicato said.

GGST was originally composed of Gordon Brothers Retail Partners, Gibbs International, SB Capital Group (including Schottenstein) and Tiger Capital Group.

Home & Textiles Today Staff | News & Commentary

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HTT Current issue for September 2017

See the September 2017 issue of Home & Textiles Today. In this issue, we look at the Attack of the Killer Third Tier: Monster off-pricers are climbing to the top of the food chain, plus New Products: 40 pages of new products debuting at the New York Home Fashions Market; Home Stores: TJX unveils first U.S. HomeSense store; Clicks to Bricks: Boll & Branch moves from digital to physical retailing; and much more... See details!