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Representatives for Bon-Ton and PJT Partners Inc., the firm's financial adviser, declined to comment. Bon-Ton had been discussing a restructuring Skip Trace deal that would have put the company into bankruptcy with the blessing of its creditors, some of whom would get new notes and equity in exchange for their debt, the company said this week in the filing. One plan hinged on the company finding a buyer who would possibly invest between $45 million and $60 million in exchange for a controlling stake of the reorganized retailer. PJT had contacted 21 prospective suitors, according to the documents. "A subset of these parties" were evaluating an investment as of Jan. 19, the filing said. Creditors would've had control of a new property company, holding Bon-Ton's real estate assets, according to the filing, which included documents used in the negotiations for a pre-packaged bankruptcy plan. When a buyer didn't emerge, talks broke down as bondholders pressed the company to liquidate, the people said, who asked not to be identified because the discussions were private. Liquidating the firm's assets was the secondary proposal the company had been discussing with them, according to the negotiation documents. The creditors walked away from the table last month, although negotiations continued with a group of higher-ranking creditors who lent against the retailer's assets, the people said. While bondholders can usually force a company to act after a default, investors of Bon-Ton's 8 percent second-lien notes have had limited options.
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