Jaeger placed into administration
Jaeger has been placed into administration placing close to 700 jobs at risk.
The 133-year-old fashion retailer has appointed Alix Partners to oversee the administration process after its private equity owner, Better Capital, failed to find a buyer. It had filed notice of its intention to appoint an administrator last week.
It is believed Better Capital wanted around £30m for the business which operates around 40 stores and 60 concessions, as well as a logistics centre in King's Lynn and a London HQ.
Better Capital revealed that it had sold the business' debt at the start of the month to a buyer who was believed to be Edinburgh Woollen Mill. It had been reported that Edinburgh Woollen Mill would buy Jaeger out of administration and transform it into a concession and online-only brand.
Edinburgh Woollen Mill, which is owned by billionaire Philip Day, also owns Austin Reed, which it bought out of administration last year, as well all as Jane Norman and Peacocks. The Austin Reed deal included only the brand, some stock and its outlet stores. It did not include its high street stores but it is understood Edinburgh Woollen Mill will launch Austin Reed stores later this year.
Alix Partners' Peter Saville who is acting as joint administrator for Jaeger said that having failed to find a buyer for the business its focus was now on "identifying an appropriate route forward and work with all stakeholders to do this. We will ensure that we communicate further as this process unfolds.".
Better Capital acquired Jaeger in 2012 for £19.5m from retail entrepreneur Harold Tillman who was believed to be interested in trying to buy the business back. Last year total annual sales at Jaeger fell 7% to £78.4m and it posted a pre-tax loss of £5.4m.