Missguided close to collapse after winding-up petition issued

1 Comment

Fashion etailer Missguided is on the edge of collapse after creditors filed a winding-up petition.

Administrators have been put on alert and angry suppliers owed money by Missguided have been turning up at its head office seeking payment, the i newspaper has reported. Supplier JSK Fashions issued the petition on May 10.

Missguided was rescued last autumn when Alteri Investors stepped in to provide backing. In recent weeks, it is understood that potential buyers including JD Sports and online giant Shein have been circling Missguided but there has been speculation that buyers would wait and buy the retailer out of bankruptcy.

Adviser Teneo is understood to be poised to come in as administrator if a solvent sale cannot be achieved. However, Ian Gray, Missguided’s chair, is thought to remain hopeful that a sale of the business can be completed.

Staff at Missguided’s office have reportedly stopped answering calls from factory owners. Three factory owners told the i they are at risk of bankruptcy because of not being paid. One said he had been forced to sell his wife’s jewellery to pay his staff.

A Missguided spokesperson said: “Missguided is aware of the action being taken by certain creditors of the company in recent days and is working urgently to address this. A process to identify a buyer with the required resources and platform for the business commenced in April and we expect to provide an update on progress of that process in the near future.”