Warburg Pincus-backed Gabe’s Nears Deal to Hand Key to Lenders

Warburg Pincus-backed Gabe’s is closing in on a deal that would hand over control of the discount retailer to some of its lenders, according to people with knowledge of the situation.

• The out-of-court deal, which would slash the company’s debt, could close as soon as this week, said the people, who asked not to identified as the negotiations are private
• The cash-strapped chain has been cutting deals with various landlords and vendors to slash costs, they said
• A representative for Warburg Pincus declined to comment, while messages left with Gabe’s were not immediately returned
• The company’s restructuring plan calls ...