(WQOW) -- The Bon-Ton Stores announced Monday that it had received a signed letter of intent from an investor group to acquire the company as a going concern in a bankruptcy court-supervised sale process.
Bon-Ton notified the Wisconsin Department of Workforce Development last week that it planned to close Younkers at the Oakwood Mall as well as other Wisconsin stores.
Bon-Ton operates stores under a variety of names including Boston Store, Elder-Beerman, Carson's, Younkers and Herberger's.
In February, Bon-Ton filed for Chapter 11 bankruptcy protection and announced a first round of closures.
DWD said that 291 employees at the stores will be affected by the most recent closings, which are expected to begin on June 5.
Bon-Ton and the investor group are in the process of finalizing an asset purchase agreement in advance of an auction, which is now scheduled to be held on April 16, 2018, according to a Bon-Ton news release.
"We are pleased to have received this signed letter of intent and are advancing our discussions with the investor group to complete an asset purchase agreement as we proceed toward the court-supervised auction," Bill Tracy, president and chief executive officer said.
The investor group is composed of DW Partners, Namdar Realty Group (including its partner Mason Asset Management) and Washington Prime Group (the "investor group"), pursuant to which the investor group proposes