Budget fashion retailer, Store Twenty One, has announced plans to avoid administration as 1,000 people could face job losses
The retailer, which is owned by Indian textiles company Alok Group, has proposed a company voluntary arrangement. The proposal includes closing stores that are not as profitable and cutting its’ rent bill by asking landlords to accept a lower payment.
The brand, that has 202 stores across the country, has appointed restructuring experts AlixPartners to review the stores operating model and to suggest restructuring options to allow the retailer to remain competitive.
Peter Saville, AlixPartners said: ‘We have been working closely with the directors of Store Twenty One for a number of weeks to consider options for the business and to chart a course for future success. After careful consideration, the directors have taken these decisions as these represent the best option in terms of preserving both jobs and value within the group.
‘Our focus now is on putting the restructuring plan into action by working closely with the management team.’
