Bankrupt Rubie’s Costume Co. Finds Buyer, Creditors to be Paid

Bankrupt Rubie’s Costume Co. has found a buyer that will save most of its employees’ jobs and allow significant recovery by its creditors.

The buyer, a “joint venture of a multi-billion dollar investment fund and a strategic operator,” will end up owning 70% of a new company to be formed through the sale, according to a sale motion filed Tuesday in the U.S. Bankruptcy Court for the Eastern District of New York.

The other 30% of the new company will go to current shareholders related or connected to Rubie’s CEO Marc Beige. The Beige Shareholders, as they’re called in the ...