Allders’ banks are on the brink of appointing administrators for the department store group. While there are a number of potential buyers for all or part of the 45-store group, administration seems increasingly likely to be the next step. The company’s banks, led by Barclays, believe some interested parties are waiting for administration before making a move. Concerns about continuing trading problems, with like-for-like sales down 2 per cent over Christmas, as well as the retailer’s pension liabilities, have caused the bid process to stall.
Scarlett Retail, the holding company for Allders, is majority owned by property company Minerva, has been looking for a buyer since December. Banker Lehman Broters which last week sold on its debt in Allders to a company linked to recovery specialist Hilco, also has a stake in Scarlett, as does the senior management led by chief executive Terry Green. The prospect of administration raises concerns about Allders’ 7,000 employees as well as the 2,500 members of its pension scheme.
Click Here: liverpool mens jersey