Barratt Shoes and Priceless enter administration
Stylo owned Barratt and Priceless have become the latest retailers to go into administration.
Deloitte has been appointed administrator for both shoe chains. Deloitte said Stylo is not in administration and the stores remain open and continue to trade. Stylo said its long-term future will be secured through an innovative combination of Company Voluntary Arrangements (‘CVAs’) and administration. Daniel Butters, Deloitte Partner and Joint Administrator, commented: “Stylo has faced a downturn in trading as a result of the current difficult economic and market conditions. We have been appointed as Administrators to Barratt and Priceless while we contact all creditors with a proposal to rescue the companies via a series of CVAs. Under the CVAs, we will be asking creditors and landlords to contractually vary their terms of trade in order to give Barratts and Priceless the necessary breathing space to allow them to deliver value for all stakeholders in the future. We are seeking to enable the rescue of Barratts and Priceless, while giving creditors and landlords certainty over their own positions. Ultimately, we are giving creditors and landlords a chance to vote on the future of the companies.
“If creditors accept the proposals, the administration would cease, after a 28 day cooling off period, and the Companies would continue to trade under the CVAs, which would remain in place for two years. The Administrators would become Supervisors to ensure that the Companies meet their obligations to creditors. In the meantime, the stores will continue to trade as normal.”
