Amazon threatens 'drastic' action after Saks bankruptcy, says $475M stake is now worthless [View all]

[mahatmakanejeeves]

Source: CNBC

Retail
Amazon threatens 'drastic' action after Saks bankruptcy, says $475M stake is now worthless

Published Thu, Jan 15 2026 10:49 AM EST
Updated 3 Hours Ago

Gabrielle Fonrouge
@fonrougegab
@in/gabrielle-fonrouge
Annie Palmer
@in/annierpalmer/

KEY POINTS
• Amazon filed an objection to Saks Global's bankruptcy financing plan on the grounds it could harm creditors and push the tech company further down the repayment pecking order.
• The tech company invested $475 million into Saks' acquisition of Neiman Marcus, a stake it said is now effectively "worthless."
• Amazon threatened more "drastic remedies" if Saks doesn't heed its concerns, including the appointment of an examiner or a trustee.

Amazon wants a federal judge to reject Saks Global's bankruptcy financing plan, writing in court papers the beleaguered department store "burned through hundreds of millions of dollars in less than a year" and failed to hold up their agreement.

When Saks acquired Neiman Marcus for $2.7 billion in December 2024, Amazon invested $475 million into the venture on the grounds the retailer would start selling its products on Amazon's website and the tech company would offer technology and logistics expertise.

Amazon wants a federal judge to reject Saks Global's bankruptcy financing plan, writing in court papers the beleaguered department store "burned through hundreds of millions of dollars in less than a year" and failed to hold up their agreement.

When Saks acquired Neiman Marcus for $2.7 billion in December 2024, Amazon invested $475 million into the venture on the grounds the retailer would start selling its products on Amazon's website and the tech company would offer technology and logistics expertise.

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Read more: https://www.cnbc.com/amp/2026/01/15/amazon-says-saks-investment-is-worthless-after-bankruptcy.html