Jaeger and Peacocks go into administration but sale talks continue
The move potentially puts over 4,700 jobs at risk and leaves the fate of around 500 stores in the balance. But sale activity is still ongoing and it seems unlikely that either of the brands are at risk of liquidation.
The company said that it had been involved in “constructive discussions" with potential buyers in recent weeks but the deterioration of the retail sector due to the pandemic and the latest lockdown in England “have made this process longer and more complex than we would have hoped”.
Sister brand Edinburgh Woollen Mill began its own insolvency process just a few weeks ago.
It's unclear exactly what happens now, although the company handling the process, FRP Advisory, said no store closures or job cuts will happen immediately. And with there having been plenty of interest in the chains, it seems likely that buyers will emerge to take them on, although a certain number of store closures seem likely.
Join administrator Tony Wright said: “Jaeger and Peacocks are attractive brands that have suffered the well-known challenges that many retailers face at present. We are in advanced discussions with a number of parties and working hard to secure a future for both businesses.”
A vehicle owned by Philip Day had previously been suggested as a possible buyer of Peacocks, while a number of parties have been linked to Jaeger including ex-owner Harold Tillman, Torque Brands, Frasers Group and M&S.
The news comes a day after it was reported that EWM is also to close its Days department store in Wales. It was named after EWM owner Philip Day and stocks the brands owned by the company. At launch, it had been seen as the first of a chain of department stores, but the pandemic appears to have put paid to that. The shop had only just reopened on November 9 following the end of the Welsh lockdown.
Copyright © 2022 FashionNetwork.com All rights reserved.