The UK fashion retailer Coast has become the latest high street chain to go into administration, with Mike Denny, Ian Green and Zelf Hussain of PwC being appointed as joint administrators of Coast Holdings Limited, Coast Retail Limited and Coast Fashions Limited. Immediately following the announcement Karen Millen acquired parts of the business and certain assets which will trade primarily online and in UK concessions. The sale to Karen Millen has preserved around 600 jobs and will minimise disruption to key customers. Karen Millen will also continue to work with existing wholesale and franchise partners.
Mike Denny, joint administrator and PwC director, said: “The businesses had been facing financial difficulties due to structural challenges in the retail space and specifically the concession partner market, as well as a softening of demand for occasion wear. This sale puts the ongoing business on a firmer financial footing. Karen Millen will be working with the existing management team to continue to grow and develop the new business. Regrettably, other parts of the business including 24 retail stores were not included in the transaction. We will make every effort to help those employees in parts of the business that were not included in the sale and will support those affected at this difficult time by liaising with the Redundancy Payments Service and Job Centre Plus.”
