Store twenty one, the discount fashion chain based in Solihull has gone into liquidation after being on the brink of collapse for a number of weeks.
Store twenty one originally filed for a Company Voluntary Arrangement (CVA) in July 2016, which saw the closure of around 200 shops.
The retail store has been in financial difficulty for a number of weeks after it failed to raise any extra money from its main lender, State Bank of India.
Store twenty one filed a notice to appoint administrators in April 2017 after being served with a winding-up petition by HM Revenue and Customs, for breaching the terms of 2016’s Company Voluntary Arrangement (CVA). However, the company failed to raise the necessary funds by the deadline set by HM Revenues and Customs, even after selling its head office and warehouse. This in turn has meant that the company has been put into liquidation with a total of 122 shops closed and 900 staff laid off.
Simon Bonney, Carl Jackson and Paul Zalkin, partners at corporate recovery and business advisory firm Quantuma, have been appointed to handle the company’s liquidation. Store twenty ones recently filed accounts at Companies house revealed a fall in sales to £89.4m in 2016 from £92.2 only a year earlier while pre-tax losses ranged from £6.6m to £9.3m.
Mr Simon Bonney stated: “It is very sad that matters have got to the stage where all the stores were closed by management on Friday following a prolonged period of uncertainty leading up to the liquidation.
“We are now in the process of conducting an orderly wind down and we would welcome contact from any interested parties who may wish to purchase assets of the company.”