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Barneys New York secures fresh new financing

The Associated Press

NEW YORK (AP) — Barneys New York has secured fresh new financing that will enable the luxury retailer to have more time to find a buyer.

The New York-based chain filed for Chapter 11 bankruptcy Tuesday and announced it would keep five stores open, including its flagship Madison Avenue location. It would close stores in Chicago, Las Vegas and Seattle along with 12 concept and warehouse locations.

Barneys said it has received $218 million in financing from Brigade Capital Management and B. Riley Financial. The agreement replaces the previously announced $75 million agreement with affiliates of Hilco Global and the Gordon Brothers Group and will refinance all of Barneys New York's existing secured debt.

It will now have until Oct. 24 to find a buyer, instead of the previous deadline in early October.