Oak attempts to buy their chain back from American Apparel

Los Angeles - With bankruptcy following American Apparel, their Oak brand has also suffered. The company had decided that it would shutter 13 of its American Apparel locations as well as four of its Oak stores. Apparently, the founders of the Oak brand, are still fighting to save their stores.

Following American Apparel’s downfall, the four Oak locations to close included two locations in Los Angeles as well as two others in New York. The founders, Jeff Madalena and Louis Terline, have already attempted to get ownership of their stores back so that they won’t have to shut down. In October, the two offered American Apparel 600,000 dollars to buy back their chain, however they were rejected. However, as reported by Apparel News, in mid-November, they proposed 1.1 million dollars in order to buy back the brand. American Apparel rejected their offer once again, although negotiations are still taking place.

American Apparel purchased Oak back in 2013. The Oak brand is known for its elevated styles and high-end price point. In comparison to American Apparel’s basics, the Oak brand is more expensive. By the company’s purchase of the small chain, they were able to open two Oak locations in Los Angeles. The brand attempted to open more locations internationally, but unfortunately those flagships closed. Buying the brand back may be the only way to save Oak’s existing four locations.

Photo: Oak