As many as 700 employees across 178 stores could be at risk after the UK’s biggest bathroom specialist lined up accountancy firm BDO to handle a potential insolvency process. A notice of intention to appoint BDO could be filed as soon as next week, according to Sky News. Bathstore was bought by American billionaire Warren Stephens in 2014 and is based in Welwyn Garden City. The bath specialist entered a turnaround plan to restore profits in 2018, during which time the company hired current chief executive Ian Herrett.
Bathstore has been contacted for comment by Express.co.uk.
The latest potential loss for the UK high street comes after rival Better Bathrooms collapsed into administration in March this year, with a loss of 325 jobs.
The company pointed blame to “severe cashflow difficulties” and poor sales.
Meanwhile, DIY chain Homebase last year unveiled plans to shut down 42 stores as part of a rescue plan after being sold for £1 to Hilco.
This month has seen Sir Philip Green secure enough backing to go ahead with a rescue deal which will see 50 stores in his retail empire shut down.
An original list showed 23 shops, with brands including Topshop, Dorothy Perkins and Burton, will be closed as part of the restructure.
But in an update at the end of May, it emerged 25 more stores will go on top of this original list, under separate insolvency proceedings, with Miss Selfridge and Evans bearing the brunt of the closures.
On Friday, Monsoon Accessorize will reveal plans to seek steep rent cuts in exchange for handing landlords a £10million share of future profits.
Shock research this month has revealed almost 1,000 shops have disappeared from the high street in just two years.
Household names including Carpetright, Mothercare and Homebase are some of the 954 stores shut through a company voluntary arrangement (CVA) since the start of 2017, according to property group Colliers International.
In business terms, a CVA is an arrangement where creditors are allowed to settle debt over a fixed period.
For the proposal to go ahead, a business must have the agreement of 75 percent of creditors.
Published at Thu, 20 Jun 2019 12:44:00 +0000