A clothing business that supplies BHS has entered administration and blamed its collapse on the high street store’s failure.
Courtaulds, the Derbyshire-based company which manufactures Pretty Polly tights, went into administration with the loss of 350 jobs.
Dilip Dattani and Patrick Ellward of RSM Restructuring Advisory have been appointed joint administrators of sister company CUK Clothing – which merged with Courtaulds in 2006 – and Courtaulds Brands Limited.
Both companies manufacture and supply branded and private label clothing to retailers in the UK and abroad. Its products include hosiery, socks, bras, underwear, nightwear, formal and casual wear, jackets and coats. Between them, they employ around 380 staff in Derbyshire and London.
The core reason cited for the demise of both companies has been blamed on the impact of the administration of BHS, a major customer, and the declining volume of sales and profitability over the recent period.
Dilip Dattani, RSM partner, said: ‘The administration of BHS has added to the challenge of operating within a fiercely competitive market for seasonal products. This has left the directors with little choice but to place the companies into administration. Regrettably, we have been forced to make 350 employees redundant to align with the current order book, and we are assisting them with their claims to the Redundancy Payments Service. We are currently engaging with the key customers to assess their ongoing orders and delivery schedules.’
Duff & Phelps are currently look fro a buyer for BHS, which entered adminsatrtion last month, in a bid to save the embattled retailer and the jobs of its 11,000 employees.
A new consortium led by Greg Tufnell, the former Mothercare and Burton boss, has entered the fray to buy struggling retailer, BHS.
Tufnell, brother of former England cricketer Phil, is reportedly leading the bid by Richess Group, in a battle to beat other hopefuls such as Matalan founder John Hargreaves, Select Retail owner Cafer Mahiroglu.
Other prospective buyers include Edinburgh Woollen Mill and Peacocks clothing retailer owner Philip Day, and Mike Ashley of Sports Direct and owner of Newcastle United Football Club.
Former BHS owner Phillip Green sold BHS to Retail Acquisitions – led by Dominic Chappell, a former bankrupt and racing driver – for £1, when it was saddled with over £1bn in debts and a £571m pension deficit.
A new head of forensic accounting, Daniel Djanogly, has been appointed at insolvency firm CVR Global to expand forensic services
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies