Jeweler Alex and Ani Cleared to Seek Votes on Bankruptcy Plan

Jewelry retailer Alex and Ani LLC got court approval to solicit votes for its “toggle” bankruptcy plan that will propose either a debt-for-equity swap or a sale of the business.

The prospects for finding a buyer aren’t “off the table,” the company’s attorney, Allyson Smith of Kirkland & Ellis LLP, said at a hearing Friday. But it’s more likely the plan will feature a reorganization that hands the company’s equity to its secured lenders, she told the U.S. Bankruptcy Court for the District of Delaware.

If there’s an asset sale, secured creditors would get their pro rata shares of the ...