900 jobs lost as fashion retail chain folds


The fashion retail chain Store Twenty One is closing down after failing to find new financial backers.

Liquidators from corporate recovery firm Quantuma have been appointed to oversee the closure of its 122 stores, which ceased trading last Friday, and the loss of 900 jobs.
Its website, offering half price on all goods, remains – although shoppers are unable to purchase anything.
The chain’s owner, Indian manufacturing group Alok, failed to secure fresh investment for the chain after a Company Voluntary Arrangement (CVA) – which gives firms more time to settle debts – that was agreed in 2016.
Management filed a notice to appoint administrators in April after Store Twenty One was served with a winding-up notice by HM Revenue & Customs for breaching the terms of the CVA.
Its closure marks the latest failure among traditional high street fashion retailers in recent years – the most high profile being BHS.

Trading has come under pressure from discount chains, such as Primark and H&M, while online competition and even supermarket ranges have added to pressure on margins.
Quantuma partner Simon Bonney said: “It is very sad that matters have got to the stage where all the stores were closed by management on Friday following a prolonged period of uncertainty leading up to the liquidation.
“We are now in the process of conducting an orderly wind-down and we would welcome contact from any interested parties who may wish to purchase assets of the company.”
He added: “The traditional retail sector continues to face significant challenges, not least with the changes in business rates. The company was founded in 1932 and unfortunately it is another example of the difficulties arising in the current economy.”

Source: Sky

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