Clintons secures rescue deal saving 2,500 jobs
High street card retailer Clintons has secured a pre-pack administration deal to allow it to continue trading through the crucial Christmas trading period.
Clintons has been bought out of administration by Esquire retail, a new vehicle that has been established by the Weiss family, which has owned the card retailer since 2012.
Read more: Clintons signs up advisers as greeting card stalwart eyes potential sale
The deal will allow the retailer’s 334 shops to remain open throughout December – its busiest month of the year – and rescues 2,500 permanent jobs.
Clintons had previously explored a number of other rescue options, including a sale and a company voluntary arrangement (CVA), which would have lead to store closures and job losses.
However, the retailer was unable to secure enough support from stakeholders to launch the CVA procedure.
Clintons chief executive Eddie Shepherd said: “Like so many of our fellow high street retailers, we have worked tirelessly to contend with the maelstrom of issues impacting the sector, from business rates pressures, to fragile consumer confidence and the lack of clarity around the taxation of online retail businesses.
“As part of our exploration of sale options to secure the future of the business, we entered into extensive discussions with stakeholders with a view to entering into a Company Voluntary Arrangement.
Read more: Clintons mulls shutting up more than 100 shops
“Despite receiving support from a number of landlords, we were unfortunately unable to secure the requisite support needed to successfully launch our proposals.
“With no other investment options available, we therefore had to take the difficult step to place the company into administration. “We are confident that this deal will kickstart a new chapter for our business.”