What: Saks.com is close to finalising a deal for additional capital by the end of the first quarter, as revealed by CEO Marc Metrick. This move comes in response to concerns over delayed payments to vendors.

Why it is important: The capital raise is a critical step for Saks.com to reassure suppliers and maintain its inventory flow amidst a challenging economic environment for luxury fashion retail. The initiative reflects the company's strategic efforts to manage its finances aggressively while ensuring business continuity and partner relationships.

Saks.com, under the leadership of CEO Marc Metrick, is addressing industry concerns regarding unpaid bills by finalising a capital raise expected to conclude within the first quarter of 2024. This development aims to alleviate the financial strain caused by a tough macro environment, enabling Saks.com to fulfil overdue payments to its vendors. Despite the challenges, Metrick emphasises the company's commitment to meeting its obligations and maintaining strong partnerships with suppliers. Saks.com and its parent company, HBC, are actively working to enhance liquidity through various financial manoeuvres, including extending credit facilities and securing new term loans. The retailer's strategic focus also includes leveraging its Saks Media Network and exploring innovative partnerships to bolster revenues and solidify its luxury market position.

Saks Seeks to raise capital by end of first quarter