Peacocks acquired by Edinburgh Woollen Mill
Administrators for the failed Peacocks clothing chain have announced the sale of the business to knitwear retailer Edinburgh Woollen Mill. The deal has protected around 6,000 jobs.
Edinburgh Woollen Mill has acquired the Peacocks brand, 388 stores and concessions, as well as company’s headquarters and logistics functions in Wales.
However 224 stores were not included in the sale and have ceased trading resulting in 3,100 redundancies. There will also be 16 redundancies at the Peacocks headquarters in Cardiff.
The administrators said Peacocks had become financially unviable due to the combined effects of a downturn in consumer spending, a surplus of stores and an unsustainable capital structure.
Chris Laverty, joint administrator and restructuring partner at KPMG, said: “Today’s deal ensures the continued trading of a well known name on the high street. While it is unfortunate that redundancies have been necessary, we are pleased that we have been able to preserve the majority of the business and jobs.”
He added: “I would take this opportunity to thank the management team and staff for their continued assistance in very difficult circumstances; their support has been invaluable in securing today’s sale.”
