The Bonmarche women’s clothing chain collapsed in administration for the second time in just over a year, putting more than 1,500 jobs at risk.
RSM Restructuring Advisory, who has been appointed to handle the administration, said all 225 Bonmarche stores will remain open and there are no layoffs yet as it seeks to secure a bailout deal.
It follows Bonmarche’s dive into administration in October 2019, before administrators struck a bailout deal with retailer Peacocks.
The ad is the latest in a string of hits on the UK’s Main Street, following the collapse of Debenhams and Sir Philip Green’s Arcadia group this week.
Women’s clothing retailer Bonmarche collapsed into administration for the second time in just over a year, putting more than 1,500 jobs at risk
Despite the deal, 30 stores were closed before last Christmas, affecting hundreds of jobs within the group.
Damian Webb, co-administrator of RSM Restructuring Advisory, said: “Bonmarche remains an attractive brand with a loyal clientele.
“We intend to continue trading while working closely with management to explore options for the business.
“We will be marketing the business for sale shortly, and based on the interest to date, we expect there will be a number of interested parties.
The brand has struggled to keep up with rising costs, such as trade rates and rising wages, as well as lower traffic on UK shopping streets.
Bonmarche had already been bought under a bailout agreement by the private equity firm Sun European Partners in 2012.
It comes after Bonmarche plunged into administration in October 2019, before administrators struck a bailout deal with retailer Peacocks
The company was subsequently listed on the London Stock Exchange before retail mogul Philip Day bought a controlling stake earlier this year.
A large number of shareholders then sold their stakes to Mr Day, giving him a 95% stake in the ailing retailer.
Meanwhile, the 242-year-old Debenhams chain slashed prices by up to 70% today, ahead of the company’s impending liquidation.
The department store is expected to be liquidated by the new year after JD Sports scrapped its bailout plan after the Arcadia group collapsed.
Arcadia, which owns Topshop, Miss Selfridge, Dorothy Perkins and Burton, has switched to administration, putting 13,000 jobs at risk.
Debenhams said he would continue to trade at its 124 stores and online with an incendiary sale of his inventory as the nationwide lockdown ended today, on a shopping day called ‘Wild Wednesday’.