Sports Direct has moved to deny reports that it is looking to close the majority of its House of Fraser stores in the new year, claiming it has entered into new leases on the majority of House of Fraser stores.
Previous coverage suggested that Sports Direct was either not paying rent or is about to end the leases on the vast majority of the House of Fraser stores in a bid to make an easier exit from is association with the department store chain.
However Sports Direct has moved to quash the rumours saying that reports referred to “fresh papers from administrators EY”, showing a number of leases being surrendered for ‘£nil’ and a small number of property leases remaining to be dealt with.
It stated that the surrenders relate to the leases between the landlord and the old House of Fraser company and have nothing to do with Sports Direct Group including the new House of Fraser group.
“Sports Direct has entered into new leases on the majority of House of Fraser stores. The EY report relates to an entirely different company. Sports Direct continues to work with landlords across the whole of the remaining House of Fraser estate,” it said in a statement.
It added: “Sports Direct is working rapidly on our ongoing investment programme with the HoF brand and it is therefore totally incorrect to assume that there will be large numbers of store closures in the new year.”