Missguided collapses into administration
Fast fashion retailer Missguided has collapsed into administration after after failing to secure a last-minute buyer.
The business called in administrators from Teneo after it was issued with a winding-up petition by suppliers who are owed millions of pounds.
The insolvency specialists are now seeking to sell the business and assets of the retailer, which employs around 330 staff from its Manchester base.
Missguided was founded in 2009 by Nitin Passi and grew rapidly amid rising demand for online fashion. However, the company was hit hard by surging supply costs, wider inflationary pressures and waning consumer confidence in the increasingly competitive market.
Boohoo had been in talks to buy the business in a pre-pack administration deal, while ASOS and JD Sports were also reported to have been interested. It is understood the three companies did not make any proposals for the business.
Alteri Investors, which saved Missguided from collapse last autumn, had been looking at options to sell the company over the past weeks. Last month Nitin Passi stepped down from the company.
Administrators said the business will continue to trade while they seek to sell off assets and stressed that there has been a “high level of interest”.
Gavin Maher, of Teneo, said: “As we continue to see, the retail trading environment in the UK remains extremely challenging. The joint administrators will now seek to conclude a sale of the business and assets, for which there continues to be a high level of interest from a number of strategic buyers.
“We thank all employees and other key stakeholders for their support at this difficult time.”