The U.S. Bankruptcy Court for the Southern District of Texas has approved a series of asset sales for IG Design Group Americas, Inc. and its domestic subsidiaries, enabling the company to maximize value from its Stationery, Gift, Sewing, and Play segments. The transactions, announced by the company, involve sales to several buyers including WIPHA Holdings, existing management with Rubelmann Capital, Advantus Corp., Carousel Worldwide, CBC Group, and American Greetings Corporation.
The approved sales cover a wide range of assets and brands. WIPHA Holdings will acquire assets in the Gift and Stationery segments, including Berwick poly ribbon and bows, Paper Magic Group, and Blumenthal. The Patterns business within the Sewing segment will be sold to existing management in partnership with Rubelmann Capital. Advantus Corp. will acquire assets in the Play and Sewing segments, such as Anker Play Products, Perler, Eureka, and others. Carousel Worldwide will take over the Lang dated products and calendar business. CBC Group will acquire the C.R. Gibson and The Gift Wrap Company brands. Finally, American Greetings Corporation will purchase machinery and equipment at the Byhalia, MS facility used for gift wrap manufacturing.
CEO Sue Buchta expressed satisfaction with the outcome, stating, "We are pleased with the results of the marketing and sale process as we reached value-maximizing transaction agreements that will allow certain areas of our business to continue operating under new ownership." She emphasized the importance of the business segments and the opportunity for brands to thrive. Chief Strategy Officer Brett Anderson highlighted the comprehensive court-supervised process, noting that the approval "affirms months of careful planning and constructive engagement with interested parties and sets the stage for a smooth transition."
The company will work closely with buyers to transition ownership, with all transactions expected to close by year-end, subject to customary conditions. DGA remains committed to serving its customers during this period. The advisors for the process include Latham & Watkins LLP as legal counsel, Huron Consulting Group LLC as financial advisor, Huron Transaction Advisory LLC as investment banker, and C Street Advisory Group as strategic communications advisor.
Design Group Americas is a diverse group of companies operating across multiple regions, categories, and brands, with products found in retail outlets worldwide. The company creates, designs, and manufactures products for life's special occasions, serving top retailers globally with end-to-end services from design to distribution. These transactions ensure that key parts of the business will continue to operate, preserving jobs and brand value.
