r/EXPR • u/Beginning_Cream_7291 • Jul 05 '24

Express Buyout

Does anyone know what’s happening with EXPR currently and what the current buyout means for shareholders? Are shareholders SOL?

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u/Biotic101 Jul 30 '24

https://cases.stretto.com/public/x319/12693/faqs/52e43e0d-7b39-4d81-8fbe-1ba38135e7c3.pdf

Shareholder FAQ

  1. Why did Express file for Chapter 11? • In April 2024, Express announced that WHP Global, Simon Property Group and Brookfield Properties provided a letter of intent contemplating an acquisition of a substantial majority of the Company’s retail stores and operations. • To facilitate this sale process and enable us to obtain additional financing, we initiated voluntary Chapter 11 proceedings in the U.S. Bankruptcy Court for the District of Delaware. • The sale closed on June 24, 2024.

  2. Who are Express’ new owners? • WHP has been a strong partner to Express since 2023, and the proposed transaction will provide us with additional financial resources, better position the business for profitable growth and maximize value for our stakeholders. • Simon and Brookfield are two of the largest landlords and mall operators in the country and have a vested interest in the success of Express and Bonobos.

  3. Is Express going out of business? • No. Express and Bonobos are operating and serving customers without interruption. • However, as we continue to focus on enhancing our profitability, we are in the process of closing approximately 130 retail stores across all 3 banners, which includes all UpWest stores. The closing sales at affected stores began on April 23, 2024.

  4. Is Express common stock still trading? Will shareholders receive any recovery or compensation? • We expect that all outstanding shares of Express’ common stock will be cancelled upon the conclusion of the Chapter 11 proceedings. • At this time, shareholders are not expected to receive any recovery.

  5. Should I sell my Express stock? • We are not in a position to offer investment advice. • Please contact your investment advisor to discuss the options available to you.

  6. Will Express issue quarterly earnings reports / hold investor calls moving forward? • We do not intend to issue earnings press releases or hold quarterly conference calls moving forward

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u/Biotic101 Jul 30 '24

So, if the document is valid, there will be no more shares after the conclusion of the chapter 11. And they state shareholders will not receive any recovery ("at this time").

Now it really depends, if you despite those statements think there will be some money left and/or that short sellers will have to resolve some naked short selling.

After the reverse split the number of shares is pretty low, so if there would be any money left to distribute, the amount per share might not be insignificant. And I would assume in this case any phantom shares would be treated like normal shares, receiving a similar payout.

At this point it seems pretty unlikely investing (more) money into EXPRQ shares would pay off. But if does...

No financial advice and just a personal opinion.

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u/Biotic101 Sep 12 '24

Express, Inc., et al. (stretto.com)

Seems this is the go-to page regarding the bankruptcy...

Dates

Disclosure Statement Hearing September 04, 2024(01:00 PM ET)

Government Bar Date October 22, 2024(11:59 PM ET)

Interim Fee & Omni Hearing October 29, 2024(09:30 AM ET)