Coast closes stores after Karen Millen purchase
Coast has been bought out of administration by Karen Millen, with its stores left out of the deal.
This has resulted in 20 store and outlet closures across the UK – 24 including the Republic of Ireland – as well as international concessions.
The UK store closures will amount to some 50,000 sq ft of prime retail space across premium shopping destinations, according to Radius Data Exchange.
Coast has been bought out of administration by Karen Millen, with its stores left out of the deal.
This has resulted in 20 store and outlet closures across the UK – 24 including the Republic of Ireland – as well as international concessions.
The UK store closures will amount to some 50,000 sq ft of prime retail space across premium shopping destinations, according to Radius Data Exchange.
It is thought that the acquisition has affected around 300 jobs.
Karen Millen has bought Coast’s online business, concessions and UK franchise operations.
Coast is owned by Aurora Fashions, which is also the parent company of retailers Oasis and Warehouse. Icelandic bank Kaupthing owns both Aurora and Karen Millen.
Coast had appointed PwC as administrators earlier today.
Beth Butterwick, chief executive of Karen Millen, said: “We are excited to be welcoming over 600 Coast employees to the Karen Millen family.
“Our expertise and infrastructure puts us in a unique position to create a lean and profitable business, ensuring it remains a thriving destination in department stores and online.”
James Child, retail analyst at EG, said: “This highlights the challenges currently being faced in the retail sector, even premium offers are suffering, with fashion brands especially coming under the microscope as competition and online spend continues to intensify.”
Aurora had accelerated the search for a prospective buyer in recent weeks, after it was hit by the ongoing supplier crisis at House of Fraser.
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