Hotter Shoes could soon be snapped up by clothing brand Woolovers, which is in advanced talks to buy the embattled footwear retailer, Sky News reports.
The privately owned fashion brand which sells knitwear, jewellery and home accessories, could acquire the business through a pre-pack administration as early as Tuesday afternoon.
City sources told Sky a deal was “likely but not certain” to be struck with restructuring firm Interpath Advisory, which has been lined up as administrator to Hotter’s parent company, Unbound Group.
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One insider added that a pre-pack sale of Hotter would allow Unbound to stay out of insolvency proceedings while its board considers options for its future.
Last week, Unbound revealed it was on the brink of collapse as it sought up to £2m in emergency funding from shareholders.
While this week it filed an intention to appoint Interpath Advisory as administrators to its main operating subsidiary Beaconsfield Footwear, which operates Hotter Shoes.
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