Boux Avenue has reportedly appointed advisers from Deloitte to discuss a potential insolvency process resulting in store closures.
The struggling lingerie retailer is part of the Theo Paphitis Retail Group, owned by Dragonâs Den star Theo Paphitis, and has 30 stores across the country. Its sister brands include Ryman and Robert Dyas.
Following a trading update in January, Paphitis said Boux Avenue was paying âabove-averageâ rents while other retailers have been able to âcompletely realign their rental cost base, often through CVAsâ.
He added: âWe will look to address our cost base, in particular our rents, as well as addressing the appropriate mix of channels to match the changing needs of our customers.
âGiven the significant importance of the review, this will be led by me personally, supported by our group board. The publication of Bouxâs financial statements will follow pending the outcome of this review.â
A spokesperson for Boux Avenue said the âstrategic and operational reviewâ unveiled in January was still ongoing and the outcome would be updated once completed.
Deloitte declined to comment.
During the six weeks to December 24, the retail groupâs like for likes slipped 1.3%. There was a positive performance at Robert Dyas, Ryman was flat and Boux Avenue was down.
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