Hopes of a rescue of M&Co are fading as the retailer is being shunned by the usual high street white knights.
Administrators at Teneo have put the bust business up for sale with an auction deadline for interested buyers passing yesterday.
The retailer, previously called Mackay’s fell in to administration for the second time in two years at the start of December.
It continues to be one of Scotland’s biggest retailers with 170 shops across UK high streets and 1,910 staff.
M&Co, which has 170 stores across the UK, is still trading and has already launched a closing down sale to try and clear stock.
Online clothes are being discounted at 50 per cent off , while in shops items have 25 per cent promotions.
READ MORE ON BUSINESS
M&Co administration update – everything you need to know
Major clothing brand plunges into administration putting 180 stores at risk
Whilst it is in administration it is no longer able to process refunds or accept vouchers but will exchange goods.
Administrators at Teneo blamed M&Co’s collapse on the sharp rise in costs while squeezed household budgets have also depressed sales.
Turnaround firm Hilco, which had owned the business following a pre-pack deal in 2020, has since had all of its debt repaid and does not want to put any more cash into the chain.
Sources told The Sun that Alteri, owned by Apollo, is also not interested in the business.
Most read in Money
Full list of Wetherspoons pubs closing – with some shutting doors within weeks
I'm a wine expert – these are best supermarket reds, whites & fizz for under £10
Tesco bosses considering major change in stores – some customers won't be happy
Millions of energy customers to get surprise bill rise in Jan – are you affected?
Industry experts said that M&Co had not attracted high street players such as Frasers, Next and Marks & Spencer who have recently swooped on bust retailers
M&Co’s trading has been weaker than some of its retail rivals largely because it has an older demographic of customers and has stores on struggling high streets, rather than busier out of town retail parks.
Source: Read Full Article
