Deb Shops, an apparel retailer focused on junior and plus-sized merchandise, has filed for Chapter 11 bankruptcy. Deb Shops' senior lenders, led by Ableco Finance, will serve as the stalking horse bidder in the company's bankruptcy auction. Lee Equity Partners acquired Deb Shops in 2007 and will continue to hold a stake in the company after the financial restructuring due to its interest in the company's senior credit facility.