AN iconic fashion and homeware brand is set to close its remaining standalone stores across the UK within weeks.
Yesterday, Next agreed to buy Cath Kidston, known for its kitsch floral designs, out of administration.
Next told shareholders it will buy the brand name, domain names and intellectual property for the business for £8.5million.
There will also be a stock clearance on the website until it is relaunched under its new ownership.
But it is now understood the four remaining standalone Cath Kidston stores are set to close within weeks, once stock is sold off.
Cath Kidston's two concession stores, in Colne and Sheffield, will close too.
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The four standalone stores that will close within weeks are in:
- Piccadilly, London
- Ashford, Kent
- Cheshire Oaks, Ellesmere Port
- York Outlet, York
PwC said there "will be redundancies" at the business, which currently employs 125 people.
But it did not say how many would be immediately impacted.
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Cath Kidston collapsed into administration in April 2020 with 60 UK stores closing and 908 jobs lost.
But it has still been trading online and the four standalone stores have continued to operate.
Zelf Hussain, joint administrator and partner at PwC, said: “Cath Kidston is a well-loved lifestyle brand founded in 1993 and I am pleased to say that it has been bought by Next who will make sure it continues to flower under their ownership.
“The company has over recent years navigated through incredibly challenging market conditions including the pandemic restrictions, and most recently the decline in consumer spending driven by cost-of-living pressures and rising costs.
“In the short term its four stores will continue to remain open whilst operations are wound down.
“Sadly, there will be redundancies during this period of wind down and we will continue to support the staff throughout this period.”
Next's most recent takeover of Cath Kidston is the latest in a number of takeover deals for struggling brands.
In November last year, it bought furniture store Made.com, which sold its intellectual property, brand and website to the retailer.
Next started selling Gap clothing online in late 2021 too, after it took over the running of the high street brand.
Meanwhile, earlier this year, it took a stake in baby and maternity clothing retailer JoJo Maman Bebe.
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In other shopping news, a major supermarket is selling Easter eggs made entirely of cheese.
Plus, shoppers have been rushing to buy a "bargain"air fryer scanning at the tills with £130 off.
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