Jaeger has filed notice of its intention to appoint administrators at the High Court, Drapers can reveal.
The 133-year-old premium retailer filed the notice on 5 April and employees were informed yesterday.
Drapers understands Jaeger’s directors took the decision to file notice to give the firm breathing space while a potential third-party buyer develops a plan for its future.
It comes a week after private equity firm Better Capital, which has owned the premium retailer since 2012, confirmed one of its funds had sold Jaeger’s debt instruments to an undisclosed buyer at a “disappointing” £23m write-down.
One source told Drapers Edinburgh Woollen Mill Group (EWM) is lined up to buy Jaeger in a pre-pack administration deal. The group acquired Austin Reed and CC under similar circumstances last year.
It is thought EWM would close Jaeger’s stores and operate it as an online brand. EWM could not be reached for a comment.
Better Capital refused to shed any light on who bought the debt but signalled it had relinquished control, adding: “This is the right time for a new strategic investor to take Jaeger into its next phase of development.” It said confidentiality undertakings prevented any further disclosure.
Harold Tillman, former owner of Jaeger, has previously shown interest in buying back the brand. On Tuesday, he told Drapers he hoped the business would survive “for the sake of the brand and its employees”.
Better Capital chief executive Simon Pilling and assistant director Richard Leighton have now exited Jaeger.