High StreetNews

Phillip Day loses £5.7m equity following Bonmarche collapse

Phillip Day has lost his £5.7m equity investment in Bonmarche, following its collapse into administration last month. 

Spectre Holdings Ltd, owned by Phillip Day, lost its multi-million investment when administrators from FRP were appointed to handle the administration process, In-Cumbria reported.

Spectre provided Bonmarche with working capital and a “cost saving” strategy to keep the womenswear retailer afloat amid the “economic headwinds impacting the whole of the retail sector”.

A spokesman for Spectre told In-Cumbria: “We are disappointed with the result of our investment in Bonmarche, but our primary thought at this time is with the business’ employees and families.”

Bonmarche’s administration has put just under 3,000 jobs, and could lead to the potential shuttering of 318 branches around the UK.

The CEO of Bonmarche, Helen Connolly, said the business model “simply does not work,” when making the announcement.

She added: “We would like to thank Spectre and their team of advisors for their advice, guidance and support over the last few months. We believe that if we had had an opportunity to work with the Spectre team closely at an earlier stage, another outcome would have been possible.”

On 19 October , Bonmarché announced the appointment of FRP Advisory, who said the brand had a “sustained period of challenging trading conditions.”

Tony Wright, joint administrator and partner at FRP Advisory, said at the time: “Bonmarché has been a staple on the UK high street for nearly three decades, but the persistent challenges facing retail have taken their toll and led to the administration. 

“There is every sign that we can continue trading while we market Bonmarché for sale and believe that there will be interest to take on the business.”

Back to top button