Latest retail blow
Cath Kidston likely to call in administrators to 60 shops
Chain has struggled to make money for its owner
Cath Kidston, the homeware and clothing chain, is expected to call in administrators, putting more than 940 jobs at risk and adding to pressures on the high street.
The company has 60 stores in the UK which now face an uncertain future alongside the troubled department store chain Debenhams and reports that Topshop owner Arcadia may abandon the leases on some of its 550 shops.
Advisory firm Alvarez & Marsal (A&M) was appointed last month to help Cath Kidston seek a buyer for the 27-year-old brand which owned by Hong Kong-based Baring Private Equity Asia.
The group announced a pretax loss of £42.3m in the year to the end of March 2018 on a 1.2% rise in revenue.
Most of the employees were furloughed on 22 March so the government will pick up the tab for the bulk of their wages.
A spokesperson said: “The notice of intention forms part of the process by which Cath Kidston is continuing to work with A&M to explore all options for the company in the current climate.”