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 lots of of jobs stay in danger.
The excessive road trend 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 additional £1.3 million. The remaining 33 shops, together with 9 concession retailers using round 400 folks, should not included within the transaction and at the moment are 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 govt, Andrew Bromley, described the sale as a “troublesome determination” 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 help Russell & Bromley’s subsequent chapter. The retailer mentioned the main focus could be on returning the model to its core energy in premium footwear and equipment.
The three shops acquired by Subsequent are in high-end places in and round London, together with Chelsea, Mayfair and Kent.
Russell & Bromley turns into the newest identify to face an unsure future on the UK excessive road, becoming a member of a rising checklist of outlets which have entered administration in current months. The Authentic Manufacturing facility Store and Claire’s are at the moment present process restructuring processes, whereas round 1,000 jobs had been misplaced following the collapse of Bodycare final yr. 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 throughout the turbulent retail interval and has a observe document of buying struggling manufacturers. Final yr it purchased maternity trend label Seraphine out of administration, and beforehand built-in FatFace by way of its concessions mannequin.
Whereas Subsequent’s transfer secures the Russell & Bromley identify, the destiny of most of its bodily property — and the roles connected to it — will rely upon the result of the directors’ assessment within the coming weeks.
