Lucky Brand’s Bankruptcy Plan Approved After $191 Million Sale

Clothing retailer Lucky Brand Dungarees LLC received court approval of its bankruptcy liquidation plan, following its $191 million sale to a company owned by Authentic Brands Group LLC and Simon Property Group.

Under the plan approved Tuesday by Judge Christopher Sontchi of the U.S. Bankruptcy Court for the District of Delaware, unsecured creditors are expected to recover about 1% of their $101 million in claims, according to Lucky Brand’s disclosure statement.

Creditors with first-lien claims have been paid in full from the sale proceeds. Second-lien creditors should recover between 10% and 38% of about $29 million in claims, according ...