Lion Capital Affiliate Gets OK to Acquire Bankrupt John Varvatos

John Varvatos Enterprises Inc.'s private equity owner, Lion/Hendrix Cayman Ltd., got court approval to acquire the bankrupt fashion brand in exchange for forgiving $76 million of the company’s debt.

Judge Mary Walrath of the U.S. Bankruptcy Court for the District of Delaware said at a hearing Friday that she would sign the final version of sale order once attorneys file it with the court under certification of counsel.

Lion/Hendrix, an affiliate of private equity firm Lion Capital LLP, was declared the winner of a July 22 bankruptcy auction with its initial $76 million credit bid. Lion/Hendrix served as the stalking ...