New Look is reportedly looking to hire investment bankers to undertake a strategic review of the business, which could likely lead to an auction during the next year.
The fashion retailer’s owners, led by investment company Alcentra, have begun talks with banks and are expected to make an appointment during the near future, according Sky News. The move comes after unsolicited approaches to acquire the company.
New Look has been owned by Alcentra and Brait since October 2020, and obtained a £30m injection of fresh equity into the business from its shareholders in April to help its digital transformation.
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The fast fashion giant said at the time that the investment would enable New Look to double its annual digital revenues from £500m to £1bn by 2030, and reach 10% online market share by 2028.
It comes after New Look set out plans to axe up to 100 jobs from its head offices in London and Weymouth in May, as part of a business-wide restructure.
A New Look spokesperson said: “We do not comment on rumour and speculation.
“Management are focused on running the company and executing the strategy for long-term growth. The company is trading well and has supportive shareholders.”
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