Monday, June 6, 2016

News: Rotherham BHS store set to close

By

The BHS store in Rotherham is in "close-down sale mode" after administrators called in liquidators having failed to find a suitable buyer for the national retailer.

BHS Group Ltd was acquired by Retail Acquisitions Ltd in March 2015 from the Acardia group. The department store operates some 164 outlets in the UK and was acquired by Sir Philip Green's Arcadia in May 2000.

In the same month it denied that a list of 52 stores were those being considered for disposal. The list included BHS stores at Parkgate Shopping in Rotherham and at Meadowhall in Sheffield.

Advertisement
Working with restructuring professionals at KPMG, the owners announced details in March this year of a proposed company voluntary arrangement (CVA) which divided BHS's 164 store portfolio into three main categories, based on the commercial viability and strategic importance of each site.

Administrators, Duff & Phelps have now confirmed that all stores are closing as part of an "orderly wind-down” of the business.

BHS has seen its profitability decline as it has sought to respond to changing customer behaviours, increased competition and the rise in omni-channel retailing. It also has a reported pension defect of £571m.

Duff & Phelps said in a statement: "Despite the considerable efforts of the administrators and BHS senior management, it has not been possible to agree a sale of the business.

"Although multiple offers were received, none were able to complete a deal due to the working capital required to secure the future of the company.

"Our thoughts today are with the employees. We thank them for their professionalism and hard work. We would also like to thank the great British public for helping us in our efforts to save BHS resulting in several weeks of significant sales."

Images: Parkgate Shopping

0 comments:

Sponsored by:
Members:
Supported by:
More news...

  © Blogger template Newspaper III by Ourblogtemplates.com 2008

Back to TOP