Corporate: "Over 100" conversations to snap up Peacocks 26 January 2012

Potential parties have shown a “huge interest” in snapping up whole or part of fashion retailer Peacocks, its administrators have confirmed.

KPMG – who were appointed to handle the administration last week – explained “over 100 conversations” have taken place with interested bidders for the business.

Almost 250 jobs have been cut at Peacocks’ head office in Cardiff since the discount clothes chain fell into administration.

But joint administrator and restructuring partner, Chris Laverty, insisted the underlying business does boast a “loyal customer base”.

He said: “We have received huge interest from potential acquirers of Peacocks.

“We had over 100 conversations with interested parties looking at either acquiring the whole business or parts of the business in the first 48 hours alone.

“Whilst the capital structure was not sustainable, the underlying business has a loyal customer base evidenced by strong sales levels in store since our appointment.”

Peacocks – which now employs some 9,351 people in the UK – also runs 563 stores and 48 concessions across Northern Ireland, Scotland, England and Wales.

And KPMG corporate finance partner, David McCorquodale, explained Peacocks’ “extensive geographic footprint” has been a key factor behind the interest shown in the brand.

He added: “What is clear is that the Peacocks brand and extensive geographic footprint remain attractive.

“Therefore, we are hopeful of finding a buyer for all or a substantial portion of the business on a going concern basis.

“We are in discussions with both trade and financial investors considering the acquisition opportunity.

“We will move quickly to protect value and have set up data room facilities for bidders to review Peacocks’ financials, with initial offers required in short order.”

By Andy Pearce