British jewellery retailer Links of London has fallen into administration, putting 350 jobs at risk.
The London-based chain, which was founded in 1990 and operates 330 stores globally including 35 stores and concessions across the UK and Ireland, announced that it fell into administration on 8 October and that its website has been temporarily suspended.
Matt Smith, joint administrator from Deloitte, said in a statement: “The company has had to contend with difficult trading conditions that have impacted the whole retail sector. The directors have been seeking alternative solutions, including consideration of a CVA, refinancing or sale, but have unfortunately been unable to conclude such a transaction. In light of ongoing cash flow pressures, this has left the directors with no choice but to place the business into administration.
“We intend to continue to trade the business and will be exploring any options for a sale. If this cannot be achieved, then we will seek to realise stock and other assets over a period of trading for the benefit of the company’s creditors.
“The company is well known in its market, having been present on British high streets for almost 30 years. This is not the outcome we hoped for and will of course be difficult news for employees and their families. We appreciate the support of management and we will continue to support employees through this time.”
Links of London joins a long list of British retailers that have fallen into administration this year, including Karen Millen, Debenhams, Charlie Wills, and LK Bennett. According to research by Deloitte, the number of UK retailers going into administration last year rose 6 percent to 125 retailers from 118 in 2017. Of those that fell into administration, 26 were large brands - an increase from 17 in 2017.
Founded in 1990 by John Ayton and Annoushka Ducas, Links of London is now owned by Greek international lifestyle fashion brand Folli Follie.
Links of London’s most recently filed accounts for the year ending December 2017 recorded a 12 percent drop in sales to 42.9 million pounds compared to 48.9 million pounds the year before.
Photo credit: Links of London, Facebook