The German arm of womenswear brand Basler has collapsed into administration.
The brand applied for “self-administration” at the Aschaffenburg District Court in Germany earlier this week.
German insolvency law offers companies the option of restructuring in insolvency procedures under their own management, rather than giving control to an administrator. However, an administration assistant is appointed.
The company said the move will allow the business to restructure and put it on “sustainable footing”, German media reports state.
The Basler management team said the company will “emerge stronger” from the administration process and added that all trading partners are still being paid on time. All trade show appearances for the upcoming season will continue as planned.
In June 2015 German private equity firm Tempus Capital acquired Basler Fashion Group for an undisclosed amount. London-based retail investment fund Alteri Investors provided Basler with a new debt facility as part of the deal.
Founded in Berlin in 1936, Basler has around 160 stores worldwide and more than 1,600 points of sale in 60 countries. It has four UK stores in Knightsbridge, Chichester, Epsom and Brent Cross, as well as 10 concessions, one outlet store and three concessions in Ireland.
It has 140 wholesale locations in the UK and Ireland including Anne Furbank in St Neots, Cambridgeshire, Fenwick’s Brent Cross and Newcastle stores, and Ambers of Amersham in Buckinghamshire.
Rolf Boje became chief executive of Basler in January 2016, replacing Reiner Unkel.
Basler could not be reached for a comment.