The retailer’s executive chairman Steve Cotter and managing director Steven Swaby are being advised on their buy-out attempt by Baker Tilly, and several private equity groups are in talks about backing them. It is understood there are also other parties interested in acquiring the retailer.
Speculation that the chain would be broken up or that a pre-pack administration would be necessary was denied by sources close to the situation, who said little value would be gleaned from either option.
Cotter said: “We are uniquely positioned in the market and are a great brand, hopefully with a great future.”
Despite management assurances, some suppliers are said to be halting deliveries. This follows shoe retailer Stead & Simpson’s fall into administration in January which, it is understood, left a group of suppliers up to£11 million out of pocket.
A Stead & Simpson creditors meeting was held on Tuesday. Following the meeting, a committee of creditors was established to consider whether to pursue legal action against the retailer’s former directors over their decision to accept deliveries in the lead up to the company’s demise.