Economy

House of Fraser to sell stake to Hamleys owner and close stores

House of Fraser to sell stake to Hamleys owner and close stores”

House of Fraser also has stores in Grimsby, Hull, Sheffield, Nottingham and Leeds amongst its 59 stores across the United Kingdom and Ireland; directly employing over 6,000 members of staff with annual sales of £1.3 billion.

House of Fraser is 89pc owned by Nanjing, a subsidiary of China's Sanpower.

Around 6,000 people work directly for House of Fraser but another 11,500 work at concessions in its stores.

House of Fraser has confirmed the sale of a 51% stake in its group, which may lead to the closure of some of its stores.

House of Fraser intends to launch a company voluntary arrangement (CVA) next month - under which some shops are likely to close in early 2019 and rents will be renegotiated on others.

The company said: "The reduction of the store portfolio will provide the business with an effective platform for future growth".

Chinese retailer C.Banner has acquired the existing shares from current owner Nanjing Xinjiekou, giving it majority control. However, we need to go further and faster if we are to confront the seismic shifts in the retail industry.

Two of those are in Edinburgh, with the historic Jenners department store owned by the chain and a separate House of Fraser outlet on Princes Street in the capital's West End.

"C.Banner's investment is a vote of confidence in our prospects".

"We know that if we are to deliver a sustainable, long-term business then we need to make hard decisions about our under-performing legacy stores".

FILE PHOTO: Shoppers walk past House of Fraser on Oxford Street in central London, Britain, April 2, 2018.

House of Fraser's troubles came to the fore in January after it suffered a drop in sales over Christmas and started talking to landlords about reducing the size of its property portfolio.

As well as the Beatties store in Wolverhampton and another in Solihull, House of Fraser has branches in Birmingham, Telford and Shrewsbury.



Like this

loading...
loading...

Latest


02 May 2018
What Are Analysts Report About Vipshop Holdings Limited (VIPS)
On Monday, November 20 the stock of Vipshop Holdings Limited (NYSE: VIPS ) earned "Buy" rating by KeyBanc Capital Markets. Zacks Investment Research cut Vipshop from a "buy" rating to a "hold" rating in a report on Saturday, February 24th.

02 May 2018
Caesars Entertainment (NASDAQ:CZR) Received Media Sentiment Score of 0.14
Loeb Partners Corp bought a new position in shares of Caesars Entertainment in the 4th quarter valued at approximately $126,000. First Republic Investment Management has invested 0.01% in Gaming and Leisure Properties, Inc. (NASDAQ:GLPI).

02 May 2018
Dirk Nowitzki mimics Victor Oladipo's joke with self-deprication
Dirk Nowitzki , the Dallas Mavericks' legendary forward, seemed to respect Oladipo's grind, so he attempted the same approach. Nowitzki also wrote "when do we start?" "Your full court sprints are timed with a calendar".

02 May 2018
Black men in Philadelphia arrest settle with Starbucks, city
The city agreed to pay each man $1 and committed $200,000 to fund an entrepreneurship program for public school students. As part of the settlement, the men will both have their arrest record from the incident expunged.

02 May 2018
IAMGOLD Corporation (IMG) EPS Estimated At $0.02 on May, 8
The mining company reported ($0.03) EPS for the quarter, missing the Thomson Reuters' consensus estimate of $0.02 by ($0.05). The stock has a market cap of $2,546.72, a PE ratio of 91.00, a price-to-earnings-growth ratio of 16.55 and a beta of -0.14.

02 May 2018
Hill International, Inc. (NYSE:HIL) Valuation & Quant Signal Review
Hollencrest Capital Management stated it has 17,000 shares. 581 were reported by Point72 Asia (Hong Kong) Limited. (NYSE:CTT). SunTrust initiated the stock with "Buy" rating in Tuesday, November 3 report. (NASDAQ:STKL) rating on Wednesday, June 14.

02 May 2018
Maine Lawmakers To Determine Fate Of Bill Establishing Retail Marijuana Market
The Maine House of Representatives voted 109-39 to override LePage's veto and the Maine Senate overrode it in a 28-6 vote. The governor argued that he can't violate federal law and that adults will flock to Maine's medical cannabis program.

02 May 2018
Brokerages Expect Western Digital (WDC) to Announce $3.50 Earnings Per Share
Pl Capital Advisors Llc holds 2.77% of its portfolio in Peoples Bancorp Inc. for 320,344 shares. (NYSE:ROK) for 3,785 shares. The stock witnessed 6.9% gains, 1.65% gains and -0.71% declines for the 1-month, 3-month and 6-month period, respectively.

02 May 2018
American Airlines Group Inc (AAL) President Sells 5000 Shares of Stock
The formula is calculated by looking at companies that have a high earnings yield as well as a high return on invested capital. It worsened, as 153 investors sold GE shares while 921 reduced holdings. 53 funds opened positions while 112 raised stakes.

02 May 2018
Potters Bar MP praises 'excellent' Amber Rudd after resignation
Ms Rudd received prolonged cheers from Tory MPs as she rose from the backbenches to speak during Prime Minister's Questions. May said she accepted that Rudd had spoken "in good faith" and was sorry to see her resign.