Fashion retailer Austin Reed files for administration

26 April 2016 (Last Updated April 26th, 2016 18:30)

UK high street fashion retailer Austin Reed has filed for administration, risking roughly 1,200 jobs.

UK high street fashion retailer Austin Reed has filed for administration, risking roughly 1,200 jobs.

With more than 100 stores, the company has appointed AlixPartners to explore options for the business as it attempts to reverse a drop in profits.

Austin Reed joint administrator Peter Saville was quoted by The Guardian as saying: "Our priority now is to work with all stakeholders and determine the optimum route forward for the business as we continue to serve customers throughout the UK and Ireland.

"We are confident that it is an attractive proposition for a range of potential buyers."

"Austin Reed is a well regarded and iconic brand, and therefore we are confident that it is an attractive proposition for a range of potential buyers; as such, we expect, and welcome, contact from interested third parties."

Owned by Darius Capital, Austin Reed closed 31 unprofitable stores last year under the framework of a company voluntary agreement (CVA).

Earlier this week, another high street chain British Home Stores (BHS) filed for administration.

Risking roughly 11,000 jobs, the move saw the appointment of Duff & Phelps as administrators, reported BBC.

The company was reported to have been contemplating the closure of around 52 unprofitable stores across Manchester, Leeds and Birmingham.

Approximately 350 UK retail chains have opted for administration since 2007, reported The Guardian quoting Economist Intelligence Unit.