- Vivian Hendriksz |
Loss-making retail chain Bhs was sold for a 'nominal sum,' or one pound in a deal completed between Sir Philip Green and investment vehicle firm Retail Acquisitions, according to reports.
Although both parties have officially declined to confirm the fee paid for the Bhs, the low price is said to have reflected the losses the retail chain has made in recent years, with the chain being sold debt-free to its new owners.
Although Sir Green voiced his opinion that Bhs was now in the right hands to grow and do well, despite the increasingly difficult retail climate, industry insiders have also shared concerns regarding the new challenges faced by the retail chain's new owners in rebuilding the brands reputation.
"Bhs has struggled to adapt to the digital age and increasing competition on the high street," commented Joshua Raymond, chief market strategist at broker City Index. "The challenge now faced by Retail Acquisitions is monumental."