Private Equity Firm Wants to Back Out of Victoria's Secret Purchase

COLUMBUS, Ohio (WTVN)--The private equity firm that originally agreed to purchase Victoria's Secret from L Brands is now trying to back out of the deal.

A lawsuit filed by Sycamore Partners, says Victoria's Secret's parent company L Brands' decision to close stores and skip April rent payments because of the coronavirus has violated the terms of the deal.

In February, Sycamore Partners agreed to purchase a 55 percent share in Victoria's Secret for around 525-million dollars.

Attorneys for L Brands said the lawsuit is invalid, and they will work towards closing the transaction based upon the original agreement.

As part of the deal, steps were going to be taken to have L Brands Founder and CEO Les Wexner step down. He agreed to stay on until the deal to sell Victoria's Secret was finalized.


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