Asim Abdullah, owner of Emanuel Ungaro, told WWD, "The company is not for sale. We are not entertaining any conversations with anyone about the sale of the company."
Emanuel Ungaro is looking for a buyer, according to The New York Post.
Ungaro was bought in 2005 by venture capitalist Asim Abdullah and last year, he was approached by an investment group who wanted to buy it. But after Lindsay Lohan and Estrella Arch's collection of hearts and pasties, investors dropped their offer.
However industry insiders blame Abdullah--not Lohan--for the brand's downfall. A source said Abdullah "was in a big hurry to court a younger clientele. He had no patience for the process that's required to properly build a brand."
In 2004, Ungaro lost $26.5 million on revenues of about $38 million and debts amounted to $25 million...and it's kept getting worse. It recently closed its Madison Avenue boutique Lohan was reportedly paid with free clothes, since the brand had no money.