How it started
Origins and early years
In 1983, the founders started a business making ceramic goods under the name Victoria and Richard MacKenzie Childs, Ltd. The company began in a small studio in Wallcourt Hall, a former dormitory for a preparatory school.
After the registration lapsed, the company was registered as MacKenzie-Childs, Ltd. in 1997.
Bankruptcy and reorganization
In 2000, MacKenzie-Childs, Ltd. entered Chapter 11 Bankruptcy protection following financial difficulties including a $15.3 million debt to BSB Bank & Trust, a 25 to 55 percent price increase, an expensive advertising campaign, and two long-term leases for unopened retail locations on Rodeo Drive and Madison Avenue.
BSB Bank & Trust installed MacDonell Roehm, Jr. as the new president of the company. Shortly thereafter, he began exploring ways to limit losses allegedly over the founders’ objections. Roehm contacted Pleasant Rowland, founder of American Girl, to determine her interest in investing in the company. Rowland purchased MacKenzie-Childs, Ltd. from bankruptcy court for $5.5 million in 2001, and then immediately called the loan, forcing the company into bankruptcy. Rowland's acquisition firms then bought the assets (trademarks, IP, goodwill) through a court-approved sale.
From Wikipedia’s article on MacKenzie-Childs, shared under CC BY-SA 4.0.2