The founder of Indian etailer Koovs has acquired the business and its assets after it failed to secure a £6.5m investment from its largest shareholder, Future Lifestyle Fashions, and collapsed into administration.
Waheed Alli, who was chairman of Asos before founding Koovs, said: “I strongly believe in the long-term future of this business and was one of its largest shareholders and creditors. I could not stand by and allow all the hard work which has been put in to be destroyed, with the loss of jobs and the damage to our suppliers which would have followed.
”The action we’ve now taken mean that Koovs and its trading subsidiary can continue to operate, and that jobs, creditors and customers are protected.”
In November, Koovs said it was in discussions with Future Lifestyle Fashions over the investment.
The etailer said the shareholder was committed to honouring the investment, and Future Lifestyle Fashions was in the process of reapplying for approval from the Reserve Bank of India.
Koovs reported a 100% year-on-year increase in gross order value to £5m in the second quarter of its 2019/20 financial year. This was up from £2.5m in the three months to 30 September 2018.