British Department Store Debenhams Will Close After 242 Years

British department store group Debenhams will close each of its shops in the United Kingdom after 242 years in business, putting 12,000 jobs at risk in the nation’s second major corporate failure.

British department store group Debenhams will close each of its shops in the United Kingdom after 242 years in business, putting 12,000 jobs at risk in the nation’s second major corporate failure.

On Wednesday morning, administrators FRP Advisory said that Debenhams would be wound down after it failed to find a buyer. . Sportswear and clothing retailer JD Sports Fashion had been seen as the department store operator’s last hope for a rescue deal but it confirmed on Tuesday night it had ended takeover talks with Debenhams, which trades from 124 UK stores.

Debenhams, founded in London in 1778, has struggled for years and was placed in administration for the second time in a year in April by its owners led by the American hedge fund Silver Point Capital.

“Given the current trading environment and the likely prolonged effects of the COVID-19 pandemic, the outlook for a restructured operation is highly uncertain. The administrators have therefore regretfully concluded that they should commence a wind-down of Debenhams UK, whilst continuing to seek offers for all or parts of the business” FRP said.


© Fourth Estate® — All Rights Reserved.
This material may not be published, broadcast, rewritten or redistributed.