Subsequent has purchased the upmarket shoe and equipment model Russell & Bromley out of administration in a £2.5 million deal, however the majority of the chain’s outlets and a whole bunch of jobs stay in danger.
The excessive avenue vogue group has acquired the Russell & Bromley model, three of its 36 standalone shops and a tranche of current inventory, for which it’s paying an extra £1.3 million. The remaining 33 shops, together with 9 concession shops using round 400 folks, are usually not included within the transaction and are actually beneath assessment by directors.
Directors Interpath mentioned the non-acquired shops would proceed buying and selling for now whereas choices are explored, together with potential closures or additional gross sales.
Russell & Bromley’s chief government, Andrew Bromley, described the sale as a “troublesome choice” however mentioned it supplied the most effective likelihood of preserving the model’s long-term future. Based round 150 years in the past, the enterprise has struggled lately amid rising prices and weaker client spending.
Subsequent mentioned the acquisition would safe “the way forward for a much-loved British footwear model”, including that it deliberate to offer the operational stability and experience wanted to assist Russell & Bromley’s subsequent chapter. The retailer mentioned the main target could be on returning the model to its core power in premium footwear and equipment.
The three shops acquired by Subsequent are in high-end areas in and round London, together with Chelsea, Mayfair and Kent.
Russell & Bromley turns into the most recent identify to face an unsure future on the UK excessive avenue, becoming a member of a rising listing of shops which have entered administration in current months. The Authentic Manufacturing facility Store and Claire’s are presently present process restructuring processes, whereas round 1,000 jobs had been misplaced following the collapse of Bodycare final 12 months. River Island has additionally introduced plans to shut shops to keep away from a wider failure, following earlier high-profile collapses together with Debenhams and Wilko.
Subsequent has fared comparatively nicely through the turbulent retail interval and has a observe file of buying struggling manufacturers. Final 12 months it purchased maternity vogue label Seraphine out of administration, and beforehand built-in FatFace by means of its concessions mannequin.
Whereas Subsequent’s transfer secures the Russell & Bromley identify, the destiny of most of its bodily property — and the roles hooked up to it — will depend upon the end result of the directors’ assessment within the coming weeks.
