Carpet retailer Carpetright has filed a notice of intention to appoint administrators whilst it works to finalise additional investment to secure the long term future of the company.
Financial pressures following a software attack that disrupted trade in April and subsequently impacted plans to restructure, has resulted in the Company seeking a period of protection whilst sale negotiations proceed.
Kevin Barrett, CEO of Nestware Holdings, said: “We remain focussed on securing external investment to ensure as few customers and colleagues are impacted as possible.
“They are our main priority and we are taking all appropriate action to make sure they are informed and supported through this process. We have begun promising conversations with interested parties that are moving in the right direction, encouraging us that Carpetright has a viable future.”
Carpetright currently has 272 stores and employs 1,852 people in the UK, and will continue to trade during this process.
The news follows Carpetright’s May announcement, with restructuring plans across a number of departments to be implemented over the next 12 months and beyond.
A staff reduction of just over 25 percent will affect the company’s central support centre and field management teams leading to approximately 70 job losses. This reduction in central support roles reflects the depletion in the retail portfolio, and revenues, that the business has experienced over the past 8 years. Read more here.
