Retailer is considering options now
Chinese-owned House of Fraser has reportedly brought in advisers to advise on a restructuring plan for the business, which could involve store closures and job cuts.
Owned by the Chinese conglomerate Sanpower, the retailer has appointed KPMG to look at its options, including Company Voluntary Agreement (CVA), according to Sky News. KPMG has, however, declined to comment.
Sources close to the company said it was not certain that the retailer and its shareholders would pursue a CVA but said that it was a possibility. If they go ahead, it could involve closing some of the company’s 59 stores and reducing rents at other branches.
UK high street has already seen a wave of job loses with retailer opting for CVA while other like Carpetright, Maplin and Toys R Us have fallen into administration.
House of Fraser has 6,000 employees and 11,500 concession staff.