Earlier this month, House of Fraser revealed it will close more than half its stores. It is expected to close 31 of its 59 shops, including its Oxford Street branch, in a move that could affect 6,000 jobs.
House of Fraser CEO Alex Williamson has said: “If we are to deliver a sustainable, long-term business supported by new liquidity then we need to make difficult decisions about our underperforming legacy stores.
“I am conscious that inaccurate speculation only feeds the ongoing uncertainty for my colleagues in the business and I reassure them we will share further news when we have it.”
House of Fraser’s latest statement reads: “House of Fraser reiterates its intention to propose a CVA in early June.
“The CVA is a condition of a transaction which will see international retailer C.banner acquire 51% of House of Fraser from current parent company, Cenbest. This is entirely consistent with the statement made on 2 May.”
The news comes after previous warnings on 3 May that the company was closing stores in the hopes of staying open.
New owners made the announcement, as they hope to turn aroud the fortunes of the shopping mall staple.
The department stores will see closures is some areas of the UK.
Chairman Frank Slevin said: “There is a need to create a leaner business that better serves the rapidly changing behaviours of a customer base.
“House of Fraser’s future will depend on creating the right portfolio of stores that are the right size and in the right location.”
House of Fraser is another in a long list of high street closures as business struggle to keep up with changes in the marker.
The chain has 59 stores in Britain and Ireland.
It employs more than 6,000 workers, and its various concessions employ around 11,500.
It is not yet known which stores will close and whether there will be job losses.
Chinese first C.banner, which also owns Hamleys, is taking a 51 per cent stake in House Fraser in the bid to save the business.
Britons took to Twitter to comment on the closures of various House of Fraser stores.
One said: “This would be devastating for Manchester.. It’s a busy store though isn’t it?”
Another wrote: “House of Fraser to close stores as part of restructuring deal. Surely Glasgow will be safe?”
“And so it continues…What will YOU do? Where will YOU go to find work?…” one user commented.
Another said: “Absolutely zero sympathy for House of Fraser as a business but huge sympathy for their employees who ran the place.”
A number of high street giants are being forced to close their doors to save money.
Toys R US closing stores marked the end of an era, as the last of the shops closed down on 24 April.
New Look closures are also hitting the British high street.
New Look has revealed it will close 60 stores in the next year, and 1,000 jobs will be cut.
The fashion company’s new business strategy will cut cost of the rent of the brand, but fans of the chain will see the stores disappearing from their high street.
The executive chairman of the company said it was a “tough decision” to make the closures, leaving thousands out of work.
FULL LIST OF CLOSURES
The House of Fraser stores identified for closure under the CVA proposal are:
Altrincham,
Aylesbury
Birkenhead
Birmingham
Bournemouth
Camberley
Cardiff
Carlisle
Chichester
Cirencester
Cwmbran
Darlington
Doncaster
Edinburgh Frasers
Epsom
Grimsby
High Wycombe
Hull
Leamington Spa
Lincoln
London Oxford Street
London King William Street
Middlesbrough
Milton Keynes
Plymouth
Shrewsbury
Skipton
Swindon
Telford
Wolverhampton
Worcester
