Richard Fleming, Chris Laverty, Ed Boyle and Joff Pope of KPMG, joint administrators of Peacocks, have today announced the sale of the business to Edinburgh Woollen Mill.
Edinburgh Woollen Mill, which is one of the UK’s largest high street chains, has acquired the Peacocks brand, 388 stores and concessions, as well as the business’ headquarters and logistics functions in Wales. The deal has protected around 6,000 jobs in the UK.
Unfortunately the remaining 224 stores were not included in the sale and have ceased trading with immediate effect, resulting in 3,100 redundancies. There will also be approximately 16 redundancies at the headquarters in Cardiff.
Chris Laverty, Joint Administrator and Restructuring Partner at KPMG, commented: “Today’s deal ensures the continued trading of a well known name on the high street. While it is unfortunate that redundancies have been necessary, we are pleased that we have been able to preserve the majority of the business and jobs."
“Like many other retailers, Peacocks suffered from a decline in consumer spending due to the tough economic conditions and this, combined with a surplus of stores and unsustainable capital structure led to the business becoming financially unviable. However, a strong brand presence and loyal customer following meant that Peacocks attracted a great deal of interest from both trade and private equity bidders, leading to today’s successful sale. I would take this opportunity to thank the management team and staff for their continued assistance in very difficult circumstances; their support has been invaluable in securing today’s sale."
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For further information on the administration, please contact:
Sorrelle Cooper, Senior PR manager, KPMG
T: +44 (0) 207 694 8527
M: +44 (0) 793 207 8218
Margot Cowhig, Senior PR manager, KPMG
T: +44 (0) 207 694 4246
M: +44 (0) 792 027 4856
Emma Murray, PR manager, KPMG (contact for broadcast queries)
T: +44 (0) 207 694 6506
M: +44 (0) 795 662 9361
Dave Lafferty, Citypress (contact for Northern press queries)
T: +44 (0) 161 235 0318
M: +44 (0) 754 521 1511
Phil Addicott, Big Partnership (contact for Scottish press queries)
T: +44 (0) 141 333 9585
M: +44 (0) 782 466 6956
KPMG Press Office: 020 7694 8773
For detailed staff numbers by store location, please contact the KPMG press team.
For further information on the acquisition or Edinburgh Woollen Mill, please contact:
Spinney & Partners, West 11, 211 Dumbarton Road, Glasgow, G11 6AA
T: +44 (0) 141 338 6700
M: +44 (0) 774 708 7957
Notes to Editors
Richard Fleming, Chris Laverty, Ed Boyle and Joff Pope of KPMG were appointed joint administrators to Peacock’s Stores Limited, The Peacock Group Plc, Peacocks (Nantgarw) Limited, Dorsman Estates Co Limited and Henson No.4 Limited, which together make up the high street budget fashion retailer trading as Peacocks on 19th January 2012. Around 250 Head Office staff were made redundant on 19th January. No other redundancies were made between 19th January and today’s announcement.
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with over 11,000 partners and staff. The UK firm recorded a turnover of £1.7 billion in the year ended September 2011. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 152 countries and have 145,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. KPMG International provides no client services.
This article represents the views of the author only, and does not necessarily represent the views or professional advice of KPMG in the UK.