Teen Clothing Retailer rue21 Files Bankruptcy for Third Time

Teen clothing retailer rue21 has filed bankruptcy to close its stores and sell its brand, marking the third time the business has sought court protection and the latest sign of trouble for mall-based outlets.

The retailer, which is majority owned by Blue Torch Capital, filed Chapter 11 Thursday in Delaware listing assets and liabilities each of between $100 million and $500 million. The company said it will conduct going-out-of business sales over the next 4 to 6 weeks while it runs a sale process for the retailer’s intellectual property.