// Beales lurches towards collapse
// The department store chain to hold a board meeting that will make way for the appointment of administrators
// 1300 full time jobs will be put at risk
Beales is reportedly set to file for administration today amid ongoing efforts to find a buyer.
The department store retailer is expected to hold a board meeting that will make way for the appointment of KPMG as administrator, Sky News reported.
The administration would put 1300 full-time jobs at risk.
READ MORE: Beales paying £1m more in business rates than it should be
A notice of intention to appoint insolvency practitioners was filed earlier this month.
Just before Christmas, Beales appointed KPMG to conduct a strategic review of the business and to examine different options for refinancing.
Beales has been seeking to negotiate rent reductions with some of the owners of its 22 stores.
Meanwhile, Beales owner Tony Brown has reportedly worked “tirelessly” to secure a future for the business.
The Bournemouth-based retailer, founded in 1881, sells brands including Hobbs, Phase Eight and Tommy Hilfiger, and employs about 1300 people.
Beales was a public company for two decades until its shares were delisted in 2015. It has since been owned by several different private investors.
In 2016, it secured a CVA which saw rent reductions at 11 of its then 29 stores.
In October 2018, Beales was sold in a management buy-out to group chief executive Tony Brown.
Last week, Colliers estimated that Beales has paid £1.06 million more in business rates than it should have in the years since the revaluation.
Beales’ 22 stores are paying a total of £2.85 million in business rates this year.
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4 Comments. Leave new
A great shame!
What a sad day for Beales!
A very sad day for Beales both in Bournemouth Area as well as Nationwide
Heart breaking what is the future of retail!