A fresh blow for Britain's struggling high streets as fashion giant M&Co will shut 170 of its shops nationwide forever, putting 1,910 jobs at risk.
The M&Co brand has been bought by Yours Clothing, according to Drapers.
A spokesman from Teneo, who were appointed as administrators of the business, confirmed the sale of M&Co brand and intellectual property to Yours Clothing but not the stores, The Sun reports.
The Peterborough-based group is also the owner of the menswear line BadRhino, the womenswear retailer Long Tall Sally and the maternity brand Bump It Up Maternity.
An insider source also told The Sun that the sale of the brand means M&Co's 170 shops will close forever, putting 1,910 jobs at risk.
A fresh blow for Britain's struggling high streets as fashion giant M&Co will shut 170 of its shops nationwide forever, putting 1,910 jobs at risk
The M&Co brand has been bought by Yours Clothing, according to Drapers . A spokesman from Teneo, who were appointed as administrators of the business, confirmed the sale of M&Co brand and intellectual property to Yours Clothing but not the stores, The Sun reports
The company previously known as Mackay’s fell in to administration on December 9, for the second time in just two years.
Teneo Financial Advisory was appointed as administrators of the business.
Several senior staff members at M&Co, including the chief financial officer, left the business last month in a wave of redundancies at the retailer.
It is understood that, should a buyer not be found for the physical stores, staff employed at those sites will also face redundancy.
Administrators at Teneo put the bust business up for sale with an auction deadline for potential buyers.
Teneo blames M&Co’s collapse on the sharp rise in costs while squeezed household budgets have also cut down sale numbers.
At the time of M&Co's administration, online clothes are being discounted at 50%off, while in shops items have 25%off promotions.
Industry experts also said at the time that M&Co had not attracted high street players such as Frasers, Next and Marks & Spencer who have recently swooped on bust retailers.
M&Co isn't the only store vanishing from Britain's high streets, as just this week, Paperchase announced it collapsed into administration after it couldn't find a buyer.
Tesco has announced a deal to buy the brand and intellectual property from the insolvency specialists - but the move means Paperchase's stores are expected to shut, with hundreds of staff likely to face redundancy.
Companies like M&Co or Paperchase going into administration comes in a wave of high street closures, after the bloodbaths of 2008 and 2020, as firms struggle to cope with the soaring bills and a slump in sales due to the cost of living crisis
M&Co isn't the only store vanishing from Britain's high streets, as just this week, Paperchase announced it collapsed into administration after it couldn't find a buyer (pictured: a woman walking past shuttered shops in Chatham, Kent, one of many high streets to have suffered a decline in recent years)
'Unfortunately, despite a comprehensive sales process, no viable offers were received for the company, or its business and assets, on a going concern basis.
'However, there has been significant interest in the Paperchase brand and attendant intellectual property.
'The joint administrators will continue trading the company's operations in the short term, with all stores remaining open and trading as normal.'
Supermarket giant Tesco has bought the Paperchase brand and intellectual property after the stationery chain entered administration.
However, the supermarket chain's deal for the business will not include any of the retailer's 106 stores and is therefore expected to impact hundreds of jobs.
Companies like M&Co or Paperchase going into administration comes in a wave of high street closures, after the bloodbaths of 2008 and 2020, as firms struggle to cope with the soaring bills and a slump in sales due to the cost of living crisis.
In November, fashion chain Joules, which produces posh wellies loved by the likes of Kate Middleton, Taylor Swift and Holly Willoughby, announced it was facing administration, putting 1,600 jobs and 132 stores under threat.
The pressure caused by the cost of living crisis is also felt by giants like Marks & Spencer, who revealed in November that it expects to spend £100million more on energy in 2023.
The burger chain Byron Burger also recently fell into administration and is to close nine restaurants effective immediately.
Fashion giant H&M also isn't safe of closures and recently announced it would be shutting a few of its stores - two branches in Hartlepool and the Isle of Wight - in the UK in 2023 after already shutting branches during 2022.
Pub chain Whetherspoons announced in December that 10 pubs would be closed and another 35 were up for sale after they were hit with inflated running costs.
The face of Britain's High Streets has changed since March 2020 and the Covid pandemic, as data shows a large rise in cafés, pubs, fast-food outlets and tattoo studios having been opened since then.
Fashion giant H&M also isn't safe of closures and recently announced it would be shutting a few of its stores - two branches in Hartlepool and the Isle of Wight - in the UK in 2023 after already shutting branches during 2022
Since the Covid pandemic forced businesses to close in March 2020, Britain's High Streets have become increasingly dominated by hairdressers and cafés, data shows (file image)
While the likes of department stores, clothes shops and banks have seen significant drops in numbers following the two years of lockdowns and trading restrictions.
Between March 2022 and March 2020 there was a decrease of 9,300 retail outlets as shoppers decided to use online stores.
The data also shows that Britain's High Streets are becoming places where people do things rather than buy things - as highlighted by a large rise in the number beauty salons and cafés.
The number of clothes shops operating in Britain is down 4,300 since March 2020 and there are more than 800 fewer High Street banks.
Between March 2022 and March 2020 there was a decrease of 9,300 retail outlets as shoppers decided to use online stores.
The data also shows that Britain's High Streets are becoming places where people do things rather than buy things - as highlighted by a large rise in the number beauty salons and cafés.
English (United States) ·