Six Mamas & Papas stores have closed, and 54 head office jobs are at risk after the nursery and childrenswear retailer was bought out of a pre-pack administration by its parent group this morning.
Last month, Drapers revealed that the brand was looking to exit several of its UK stores, after appointing Deloitte to advise on cost-cutting initiatives.
Following this mornings pre-pack administration it has been confirmed that six unprofitable stores will close with immediate effect. They comprise Aberdeen, Preston, Milton Keynes, Lincoln, Leamington and Fareham.
The stores employed 73 staff.
Mamas & Papas’ remaining 26 stores were bought back by Mamas & Papas Group and will continue to trade as normal. The brand’s wholesale, digital and concessions businesses are also unaffected.
The company has also announced that up to 54 jobs at its head office in Huddersfield are at risk, as it looks to simplify operations. Affected staff entered consultation this morning.
Riccardo Cincotta, executive chairman of Mamas & Papas, said: ”These actions are always difficult but they are also necessary in a challenging market to ensure Mamas & Papas achieves its considerable future potential. We remain fully focussed on maintaining our position as the UK’s most popular nursery brand.
”We will continue to review our store portfolio in the light of customers’ changing behaviour and we remain fully committed to an omnichannel offering that reflects their evolving needs. Our digital performance is tracking ahead of expectation, our wholesale distribution in the UK and internationally continues to grow and our in-store personal shopping experience remains highly valued by our customers.”
Private equity firm BlueGem Capital bought Mamas & Papas in 2014 following a company voluntary arrangement (CVA), which involved the closure of around half its stores.
Marco Capello, managing partner at Bluegem Capital, added: “As long-term owners of the business, we remain fully committed to supporting Mamas & Papas on its growth journey. The business now has a solid platform from which to achieve this ambition, so we can look forward to the future with confidence.”