Express Risks Liquidation If Buyout Deal Can’t Be Reached Soon

Express Inc. said it could be forced to liquidate if the bankrupt clothing retailer can’t complete a proposed buyout relatively quickly.

The company has lined up $35 million in new financing to fund itself while in Chapter 11. But Chief Executive Officer Stewart Glendinning said in a sworn statement that funding requires Express to pivot to a liquidation process if it can’t reach “a firm deal within 30 days.”

Unless the retailer is restructured quickly, the cost of the Chapter 11 case “will take over the company,” Express lawyer Josh Sussberg said during a court hearing Tuesday in Delaware. “Time ...