Saks Global has secured an initial tranche of $500m from a broader $1.75bn committed financing package as it advances through Chapter 11 proceedings.

The US luxury retail group said the funds will provide liquidity to maintain business continuity and back transformation initiatives across its portfolio.

It added that the financing will be used to make go-forward payments to brand partners and to expedite inventory flow.

Under newly appointed CEO Geoffroy Van Raemdonck, the company states that it is progressing through the Chapter 11 process with an emphasis on curated product assortments, closer brand partnerships and continued service to customers.

Van Raemdonck said: “Access to this significant capital is instrumental as we work to strengthen our financial foundation and best position Saks Global for the future. Our stores and e-commerce experiences are open and focused on delivering exceptional products, elevated luxury experiences and highly personalised service to our customers.”

The funding follows Saks Global’s first-day court hearing in its Chapter 11 cases.

After the session, orders were granted to allow the business to continue operating in the ordinary course, including maintaining payroll and benefits and fulfilling ongoing commitments to partners and vendors.

Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, Saks OFF 5TH, Last Call, and Horchow will continue to trade across stores and e-commerce.

The company said customer programmes and policies, including credit cards, gift cards and loyalty schemes, will remain in place.

Saks Global also confirmed its leadership team now includes Van Raemdonck as CEO, Darcy Penick as president and chief commercial officer, Lana Todorovich as chief global brand partnerships officer, and Brandy Richardson as CFO.

Van Raemdonck previously served as CEO of the Neiman Marcus Group before its acquisition by Saks Global in 2024.

He will work alongside CFO Brandy Richardson, who also previously held the CFO role at the Neiman Marcus Group.