- Angela Gonzalez-Rodriguez |
New York – Monsoon Accesorize, the parent company of the British accessories and fashion chains has brought in Deloitte advisers to look into options to speed up their financial turnaround.
Amongst other options considered, the retail group is said to be looking into a possible Company Voluntary Arrangement (CVA). This process has grown infamous as other struggling retailers like New Look followed it in the past, closing stores to face a tough retail environment. Traditionally considered as the last resort for companies bordering bankruptcy, market sources quoted by ‘The Guardian’ claim that landlords see this type of arrangements as an easy way for struggling companies to cut costs rather than taking more fundamental action to improve their businesses.
A spokesman for Monsoon Accessorize cited by UK press said: “The UK retail trading environment is tough and we are continuing to look at options to reduce our overall costs as we restructure the business in the UK and internationally.
“We have made no secret of the fact that we have steadily reduced our store portfolio in recent years and shall continue to do so as leases expire. We are looking at options to accelerate these store closures,” the spokesperson further added. Deloitte has declined to comment on the matter.