Coast becomes the latest fashion chain to collapse into administration.
Last month, Aurora, Coasts parent company, was searching for a buyer, after the business was hit hard from House of Fraser’s recent difficulties.
On Thursday evening, staff were told that all of Coast’s 24 standalone stores will close, with 300 jobs at risk.
PwC have been appointed as administrators.
Upmarket womenswear rival, Karen Millen have brought Coast’s brand, website and concessions, as well as taking on 600 staff. They’re said to be working with the existing management team to continue to grow and develop the new business. Though this sale gives a firmer financial footing for Coast, not everything was included in the transaction, leaving 24 retail stores behind.
PwC director and joint administrator, Mike Denny, states ‘’The businesses had been facing financial difficulties due to structural changes in the retail space and specifically the concession partner market, as well as a softening of demand for occasion wear.’’
Coast operate a number of concessions in House of Fraser stores and so faced a multi-million-pound bill following the department stores £90m pre-pack administration sale. They were not the only fashion brand to have taken a hit, with Ted Baker, Mulberry and Quiz also being affected.