Mothercare to close 60 stores by June 2019
Mothercare has said it will close 60 stores by June 2019 instead of the 50 previously announced. The move will put some 900 jobs at risk.
In a statement, the mother and baby products retailer also said that its Childrens World brand is being placed into administration after CVA proposals failed to receive the required support of shareholders. However, 13 of its 22 stores will transfer to other Mothercare group companies to enable them to remain open.
The retailer will also be looking to raise £32.5 million through a share placing.
Mothercare chief executive Mark Newton-Jones said: "We have seen an unprecedented period for UK retail and we have not been alone in facing a number of strong headwinds. I'm pleased to say however, that we are now in a position to re-focus on our customers and improve the Mothercare brand both in the UK and across the globe.
"After a very challenging period for our business, we have now finalised arrangements to restructure and refinance the group, ensuring that the transformation of the Mothercare brand we started four years ago can now be completed. Mothercare is a great British brand with over 50 years of heritage and we now have the financing in place to take it forward for many more years to come.”
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