Moorestown-Based Destination Maternity Files For Bankruptcy

MOORESTOWN, NJ — Moorestown-based Destination Maternity is among the latest retail businesses to file for bankruptcy. The company, which has $260 million in assets and is $244 million in debt, filed for bankruptcy on Oct. 21, according to court documents.

No specifics were given on how many, or which stores, could close. The company does expect to continue to operate both brick-and-mortar and online stores.

The company has 62 Destination Maternity stores across the country, in addition to its 799 Motherhood Maternity stories and its 40 Pea in the Pod stores. The company said it began the process in early September, and it has “already yielded interest from several credible bidders,” according to a statement from the company.

“This decision is a difficult, but necessary one,” Destination Maternity CEO Lisa Gavales said in a statement. “In a challenging retail environment, we have had to make some very tough choices, but we are confident that the steps taken today provide an opportunity to continue a marketing process that provides the most efficient means of maximizing value to our stakeholders. Throughout this process we will be focused on developing the promising interest already shown by potential bidders, and maintaining operational momentum toward a stronger business.”

In New Jersey, Destination Maternity has the following locations:

• BRIDGEWATER
• CHERRY HILL
• LIVINGSTON
• PARAMUS

Pea in a Pod has the following locations:

• SHORT HILLS
• SHREWSBURY

Motherhood Maternity has locations in the following towns:

• BRIDGEWATER
• CHERRY HILL
• DEPTFORD
• EAST BRUNSWICK
• EATONTOWN
• EDISON
• EGG HARBOR TOWNSHIP
• ELIZABETH
• FREEHOLD
• JERSEY CITY
• LAWRENCEVILLE
• LIVINGSTON
• MOORESTOWN
• PARAMUS
• PRINCETON
• ROCKAWAY
• SHORT HILLS
• TINTON FALLS
• TOMS RIVER
• TOTOWA
• VINELAND
• VOORHEES
• WAYNE
• WEST LONG BRANCH
• WOODBRIDGE

The news comes after Forever 21 and Walgreens announced possible store closings, and Pier 1 announced layoffs earlier this month. Read more here: 1,500 More Layoffs, Store Closings For 3 NJ Retailers