Next adds Cath Kidston to growing portfolio
Fashion and home interiors group Next has acquired Cath Kidston from administrators in a deal worth £8.5 million.
It has taken on the name and intellectual property but none of its four shops which will be wound down, resulting in a number of redundancies among its 125 staff, says administrator PwC.
Cath Kidston, founded in 1993, initially failed in 2020 with the loss of nearly 1,000 jobs and the closure of all its UK shops. It had a store in George St, Edinburgh and relocated to Princes Street before its recent troubles set in.
It was bought and relaunched by private investment firm, Baring Private Equity Asia, which then sold the business last July to restructuring firm Hilco Capital.
Cath Kidston joins other struggling firms – the online furniture retailer Made.com and the fashion chain Joules – in the expanding Next portfolio.
PwC said the retail sector “continues to be exposed to testing market conditions”.
Cath Kidston had been hit by the “decline in consumer spending driven by cost-of-living pressures and rising costs,” administrator Zelf Hussain said.