Two newly formed companies backed by restructuring firm Gordon Brothers has bought HPJ Jewellers out of pre-pack administration.
Closed shop locations
- West Bromwich
- Edmonton Green
52 of its 78 retail outlets were acquired and will continue trading under the HPJ Jeweller and sister company Jewel Nation names. 329 of its 502 staff will transfer to the newly formed companies, Gemstone Retail and Gemstone Operations.
Advisory firm KPMG was appointed as administrator for the jeweller, as revealed by Retail Week last month.
The jeweller had been loss making for some time due to increased competition to non-traditional retailers and fashion outlets. Also, sales in the lead up to Christmas were significantly worse than forecast due to the snow, and this period was critical to the business.
Paul Flint, joint administrator and KPMG Restructuring associate partner said: “In this challenging climate we are pleased to have agreed a sale of this long established retailer which secures the jobs of the majority of the workforce and enables the business to continue trading from a number of high streets and shopping centres across the UK.”
Gordon Brothers investment director Fraser Pearce said: “The new, smaller business moves forward on a more positive footing. Through landlord support and reduced rent levels we have been able to protect 329 jobs.”