The department store group, which has been aggressively pursuing an own-label strategy to drive sales and margins, is expected to prompt broker upgrades at its first-half pre-close trading statement on Tuesday.
Last week, Debenhams acquired assets from Principles, after owner Mosaic went into pre-pack administration in a move predicted by Retail Week.
Debenhams has snapped up Principles’ stock and some fixtures and fittings as well as a licence to operate the brand for one year. Analysts believe the deal cost the retailer between£5m and£10m.
It is understood the brand itself has been sold to a separate legal entity and could be resurrected. However, it seems unlikely as 66 stores have closed and 110 head office staff have been laid off.
The remaining 19 stores are being operated by administrator Deloitte, which is expected to hand them over to previous leaseholders, which include Arcadia.