It’s official: Dov Charney has won a reprieve.
Confirming a report in The Post late last week, American Apparel said in a statement yesterday it had secured a financial lifeline to stave off the threat of Chapter 11.
The racy clothing retailer is getting a cash injection of $14.9 million from a consortium of Canadian investors led by frozen-yogurt tycoon Michael Serruya, who bailed out Jamba Juice in a similar deal two years earlier.
Also leading the financing is Delavaco Capital, a private-equity firm based in Fort Lauderdale, Fla.
“We believe in the American Apparel brand and we believe in Dov Charney,” Serruya said in a statement.
The investors will get common stock priced at 90 cents a share in exchange for their cash, with the option to buy 27.4 million shares at the same price during the next 180 days.


