HINGHAM — Talbots Inc. has again extended its warrants exchange offer as the women’s clothing company struggles to garner the support necessary to complete its reorganization plan.
The retailer said yesterday it has extended the swap offer until 6 p.m. The offer was originally set to expire on March 26, but Talbots extended the offer by one day every day last week in an effort to reach the requisite 90 percent participation threshold.
In February, shareholders of BPW Acquisition Corp., a special purpose acquisition firm, agreed to be bought out by Talbots as part of a broader reorganization. The deal is part of Talbots’ plan to buy out its majority shareholder, lower debt by about $330 million, and continue a turnaround effort. About 91 percent of BPW shareholders approved the transaction at the time.
Under terms of the swap offer, BPW holders can exchange their warrants for shares of Talbots stock or Talbots warrants. About 30.8 million, or 88 percent, of the BPW warrants were tendered as of Friday evening.
However, Talbots needs at least 90 percent of the warrants to be tendered to complete the exchange offer.