French luxury brand Chanel has acquired Scottish cashmere knitwear manufacturer Barrie Knitwear out of administration, saving the historic brand and 176 jobs.
Chanel has agreed a deal with administrators KPMG to acquire the business and assets of the Hawick-based company - a division of Dawson International, which went into administration on August 15.
Barrie supplies cashmere to couture houses, high end department stores and private label outlets and will continue to pursue these partnerships. The deal has secured the jobs of all 176 of its employees.
Barrie managing director Jim Carrie and sales director Clive Brown will also continue in their roles.
Bruno Pavlovsky, Chanel’s fashion president, said: “The acquisition of Barrie business by Chanel is all the more natural as the factory has worked with us for more than 25 years, producing cashmere knitwear including Chanel’s iconic two-tone cashmere cardigans.
“Through this acquisition, we reaffirm our commitment to traditional expertise and craftsmanship, and our wish to safeguard their future and support their development.”
Blair Nimmo, head of restructuring at KPMG in Scotland and joint administrator of Dawson International Trading Ltd, said: “We believe we have secured a sustainable future for a business which is of both historical significance to the textile industry and of local importance as a major employer in the Scottish Borders. “