FatFace up for sale
Fashion brand FatFace has hired investment bankers to oversee its sale, after a bounce back in post-pandemic sales.
Financial advisory group Rothschild has been appointed to explore options for the business, which was taken over by its lenders in a debt-for-equity swap in 2020 to help it get through the pandemic.
According to The Sunday Times, the search for a new buyer comes as a result of sales returning to pre-pandemic levels.
FatFace reported a sales jump of four per cent on pre-pandamic levels in the six months to November 27, 2021. More than a third of sales were made online.
The retailer reportedly wants e-commerce to account for 70 per cent of total sales in the next five years.
Private equity firm Bridgepoint purchased FatFace for £360million in 2007 and owned the chain until mid-2020. This is when Alcentra, Goldman Sachs and Lloyds Bank took over in a debt-for-equity swap.
The deal reduced debts by £146.8million to £25.6million and enabled FatFace to continue trading throughout the pandemic.
