New Look owners appoint Rothschild to oversee sale process
In April, the company’s investors injected £30m of new equity to support its digital transformation
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New Look owners, Alcentra and Brait, have reportedly hired Rothschild to advise on a strategic review, which is expected to lead to a sale of the high street fashion chain next year, according to Sky News.
It is understood that the appointment of the investment bank took place in recent days following a number of unsolicited approaches.
New Look operates almost 340 stores and employs about 10,000 staff across the UK. It is also the country’s second-largest womenswear retailer in the 18-to-44 age group, according to Kantar, putting it ahead of Shein and ASOS. Alcentra and Brait have controlled the brand since October 2020.
The chain reported sales of £769m last year, alongside a statutory pre-tax loss of £21.7m – an improvement on the £88m loss recorded the previous year. Like many high street retailers, it restructured during the Covid-19 pandemic through a company voluntary arrangement.
In April, the company’s investors injected £30m of new equity to support its digital transformation. It also completed a £100m refinancing deal with Blazehill Capital and Wells Fargo in autumn 2023.
A New Look spokesperson said: “Management are focused on running the business and executing the strategy for long-term growth. The company is performing well, with strong momentum driven by a successful summer trading period and notable online market share gains.”
New Look has declined to comment on the appointment of Rothschild.
