As part of the transaction, Bluestem Brands will sell a revolving loan portfolio with a face value of approximately $488.2 million to Jefferson Capital for a gross purchase price of $302.8 million. At closing, the gross purchase price will be adjusted to reflect interim portfolio cash flows. The sale does not include any of Bluestem Brands’ retail operations or assets.
The deal is expected to close in the fourth quarter of 2025, subject to customary regulatory approvals.
The two companies will also enter into an interim servicing agreement to facilitate the orderly transition of servicing responsibilities to CardWorks Servicing, LLC, which is expected to assume full servicing of the portfolio by the end of February 2026.
The Reed Smith team was led by Brad Schmarak, global co-head of the firm’s Private Equity Group, and partner Jennifer Riso, with support from associate Crockett Stevenson.
About Reed Smith
Reed Smith is a dynamic international law firm dedicated to helping clients move their businesses forward. With an inclusive culture and innovative mindset, we deliver smarter, more creative legal services that drive better outcomes for our clients. Our deep industry knowledge, long-standing relationships and collaborative structure make us the go-to partner for complex disputes, transactions, and regulatory matters.
For more information, please visit reedsmith.com.
