Edinburgh Woollen Mill Group seeks extension of creditor protection

Edinburgh Woollen Mill (EWM) Group is reportedly seeking more time to secure a rescue deal as the company teeters on the brink of administration.

The group, whose portfolio includes brands Jaeger, Peacocks and Bonmarché, earlier this month filed a notice to appoint FRP Advisory as administrators with the notice period due to expire on Thursday.

The company is now expected to ask for a ten-day extension of creditor protection, according to The Times.

EWM is reportedly in talks with US hedge fund Davidson Kemper to acquire Peacocks, the largest chain in the group, out of administration. It is understood that the group’s namesake chain Edinburgh Woollen Mill, could close altogether as part of the deal.

The group earlier this month announced it is to close 50 stores, putting around 600 jobs at risk.

There have been reports this week that Torque Brands, the owner of British men’s formalwear retailer TM Lewin, is in talks for a potential takeover of Jaeger. According to Sky News, Torque Brands is one of a small number of bidders for the company.

Photo credit: Jaeger, Facebook