Menswear specialist Baird Group is on the brink of signing a deal to acquire a stake in hire supply business Etiquette.
Baird Group, along with three unnamed investors, was set to complete on a deal to help refinance Etiquette – which operates concessions within a number of independent and multiple retailers – as Drapers went to press.
Etiquette supplies high street retailers including Austin Reed and High and Mighty, and partners with Baird Group to supply the hire departments it operates within Arcadia’s Burton stores and selected branches of department store chain Debenhams.
Etiquette is believed to have run into financial difficulties after the hire sector took a knock because of a reduction in corporate events as companies reined in their spending because of the recession.
Baird Group is expected to amalgamate Etiquette with its Young’s Hire business, making it one of the UK’s biggest men’s hire retailers.
A source close to the situation said: “It’s a good business and if the deal goes through, new owners can tap into its distribution network. There are synergies between Etiquette and the Young’s Hire operation.”