Major UK retail chain warns that it could collapse with 1,200 jobs at risk
The retailer said up to £60 million may be needed to fund a turnaround as losses mount and buyers consider a pre-pack administration.
- Luxury department store Harvey Nichols warned its future is in jeopardy without a rescue deal, putting around 1,200 jobs at risk across its UK estate, including its flagship Knightsbridge location and branches in Leeds and Edinburgh.
- Mounting losses have plagued the company for five consecutive years, with revenue falling to £204.8 million in the year to March 2024 and pre-tax losses widening to £34 million.
- Mike Ashley's Frasers Group has emerged as the leading candidate to acquire the retailer, a deal that would end 35 years of ownership by Sir Dickson Poon's family.
- Prospective buyers have been told up to £60 million may be needed to fund a turnaround, though Ashley suggested the business could sell for less than £40 million, while Next's competing offer is unlikely.
- The retailer's struggles occur amid a difficult year for the UK high street, with major brands like LK Bennett, Claire, and Quiz entering administration, while Whitbread recently confirmed closures of 106 Beefeater and 89 Brewers Fayre sites.
22 Articles
22 Articles
Store closures alert: UK retailer Harvey Nichols confirms future is in doubt with 1,200 jobs at risk
Store closures warning as UK retail giant confirms it is on the brink of collapse with 1,200 jobs at risk . Harvey Nichols has sounded the alarm over its survival, declaring that without a rescue deal, the luxury department store faces an uncertain future
Harvey Nichols will collapse without rescue bid, directors warn
Harvey Nichols will collapse into administration if a rescue buyer is not found, directors of the luxury department store chain have warned. The retail empire will “cease trading” if it fails to agree a sale and no additional funding is found, the group’s directors cautioned in its latest accounts. Harvey Nichols could find a buyer as soon as this week as part of a high-profile auction process which has attracted the interest of high street gia…
Retail Tycoon Ashley Puts Finishing Touches To Harvey Nichols Rescue Deal
Sky News has learnt that Mr Ashley’s Frasers Group is hoping to announce the acquisition of Harvey Nichols through a pre-pack insolvency process on Thursday, after weeks of negotiations. Industry sources said the tycoon’s team had been engaged in detailed talks with FTI Consulting, the adviser to Harvey Nichols and its standby administrator, which could involve significant job preservation commitments. One insider said that Frasers had been cons…
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