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May 30 NexCen Brands NEXC.O, which has
expressed substantial doubt about its ability to continue as a
going concern, said it cut about 25 percent of its New
York-based workforce to streamline its operations and is
exploring options to enhance liquidity.
The company, which acquires and manages global brands
generating revenue through licensing and franchising, said the
strategic options include a possible sale of one or more of its
The company's portfolio includes ice cream brand
MaggieMoo's, home furnishings unit Waverly and apparel line
On Tuesday, Women's Wear Daily reported that the company
was looking to sell its Bill Blass and Waverly units to help
reduce its debt and may be drawing interest from more than one
The company said it engaged N M Rothschild & Sons Ltd to
explore strategic alternatives.
NexCen had said that due to an amendment to its bank credit
facility in January, it is required to repay $30 million of the
$70 million to finance its acquisition of Great American Cookie
Co by Oct. 17.
In January, the company acquired Great American Cookie
Mrs. Fields Famous Brands LLC for about $89 million in cash
and about $4.7 million in NexCen common stock.
NexCen also confirmed that active discussions continue with
its lender regarding possible amendments to the bank credit
facility as well as with other potential lenders regarding
Shares of the company were trading up 4 cents at 67 cents
Friday morning on Nasdaq.
(Reporting by Swagata Gupta in Bangalore; Editing by Pratish