High street footwear retailer Barratts Shoes has entered administration for the third time after investors pulled out of the business, putting over 1,000 jobs at risk.
The retailer previously entered administration in December 2011, trading as Barratts Priceless Ltd, resulting in the loss of approximately 2,500 jobs and over 100 store closures. It first entered insolvency in 2009.
Philip Duffy and David Whitehouse of Duff & Phelps were appointed joint administrators to Barratts Trading Limited on 8th November.
Duffy, partner at Duff & Phelps, said: “Difficult trading conditions in the sector led the directors to explore potential refinancing options and additional equity for the business.
“The company had recently received an offer from an investor to inject £5million into the company but that offer was withdrawn on the evening of the 7th November.
“In view of the financial position of the company and withdrawal of that equity offer the directors were left with no choice but to appoint administrators.”
The administrators have confirmed that they are reviewing Barratts’ financial position with a view to conducting a going concern sale of the business.
A statement issued by Duff & Phelps said that “at this stage redundancies and/or store closes cannot be ruled out.”
Barratts operates from 75 stores and 23 concessions across the UK and Ireland, employing 1,035 people in total.