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Streetwear brand Just Hype has been rescued from collapse following a pre-pack administration deal, according to Drapers.
Drapers reported that investor Sarjan Dulai has acquired the business for an undisclosed sum in a move that has saved 82 jobs. The Leicester brand had reportedly faced collapse amid falling sales and tackling excess stock post-Covid.
While the brand’s Carnaby Street store closed in March, it will continue to trade through its website and stockists under the new ownership.
The business entered administration on 31 March, with Carl Jackson and Kelly Mitchell of Quantuma Advisory appointed as administrators.
Co-founder Bav Samani told Drapers: “As with many online retailers we expanded very aggressively during Covid and in the aftermath were left with a large stock overhang. In addition, we had spent a considerable amount on advertising which although elevated the brand significantly left us heavily indebted. When the cost-of-living crisis hit, and sales fell we were left very exposed and unable to trade effectively.
“Our new investor has a strong international distribution network which will be of mutual benefit to us both as the brand continues to grow both domestically and internationally.”
He added: “We do not anticipate any significant changes to the business, our products or services, or our commitment to our customers. Instead, the new investors will enable us to continue to grow and operate with greater strength and agility, helping us achieve our long-term goals and objectives.”
