The administrators of Internacionale increasingly expect the business to be wound down rather than sold, with no “concrete” offers being made.
Last week PricewaterhouseCoopers closed eight branches of the value womenswear chain, taking the total store count down to 81, and making around 90 redundancies as a result. The stores that shut were Gateshead, Telford, Bangor in Northern Ireland, Denton in Manchester, Crawley, Bradford, Maidstone and Mansfield.
As Drapers was going to press, joint administrator Bruce Cartwright said no further closures were imminent but there would “inevitably” be more with a sale looking increasingly unlikely.
“We are not in a position where we are having a dialogue about anyone taking the business on,” he said. Although he would not comment on specifics – such as Drapers’ story (March 15) revealing Select boss Cafer Mahiroglu had bid for some stores – Cartwright said there had been “nothing concrete” brought to the table.
Stock availability meant Internacionale could still trade for months while in administration, although it would be from a dwindling number of stores, with Cartwright saying it would be a “gradual process”.
“From where we are at the moment I expect it to be an orderly wind-down, where stock is realised and we will be reducing store requirements, which sadly affects the employees.”
The website will remain offline, as it has since Internacionale entered administration on February 28, because of logistics.
PwC is currently drafting a letter to creditors setting out its proposals for a wind-down, which will be sent out around the middle of next month.