Barratts has entered administration, blaming “difficult trading conditions” in the sector for its demise.
The footwear retailer appointed Philip Duffy and David Whitehouse, of global financial advisory and investment banking firm Duff & Phelps as joint administrators on Friday (November 8).
Barratts has 75 stores and 23 concessions across the UK and Ireland employing 1,035 people, of which 521 are part time. Duff & Phelps said redundancies and store closures “cannot be ruled out” at this stage.
Philip Duffy, partner at Duff & Phelps, said: “Difficult trading conditions in the sector led the directors to explore potential refinancing options and additional equity for the business.”
He added: “The company had recently received an offer from an investor to inject £5m into the company but that offer was withdrawn on the evening of the November 7. In view of the financial position of the company and withdrawal of that equity offer the directors were left with no choice but to appoint administrators.”
Last month it was reported that the retailer was on the brink of going bust for a third time, if the was unable to secure an emergency loan.
Barratts owner Michael Ziff was attempting to secure a £3m loan to help pay for stock in the run up to Christmas.
The beleaguered Bradford-based retailer has fallen into admistration twice before, the most recent being in 2011, when more than 2,000 employees lost their jobs.