Laura Ashley files for administration
Fashion and homewares retailer Laura Ashley has filed for administration after talks regarding a rescue of the business failed.
In a statement, the company said its directors have been in advanced talks regarding the provision of third-party debt funding but “will not be in a position to draw down additional funds from third party lenders in a timely manner sufficient to support working capital requirements”.
Laura Ashley’s sales in the seven weeks to 13 March improved by 24% year-on-year. However, the company said the COVID-19 outbreak has had an “immediate and significant impact” on trading.
The business has now filed notices of intention to appoint Robert Lewis and Zelf Hussain of PwC as administrators.
Laura Ashley has around 150 stores in the UK and employs around 2,700 people.
