An interesting development.
Popular retailer Debenhams found themselves in serious financial trouble first went into administration in April 2019, with many of their stores forced to close their doors only a few months later.
There has been much speculation about what will happen to Debenhams next, and now it seems they could be merging with major online fashion retailer Boohoo.
According to the Financial Times, Boohoo is set to purchase the Debenhams brand for £55 million and operate online from next year.
Unfortunately for many staff that were laid off it won’t come as any comfort as none of the Debenhams stores are due to reopening.
Speaking on the new merger executive chairman of Boohoo, Mahmud Kamani, said;
“This is a transformational deal for the Group, which allows us to capture the fantastic opportunity as eCommerce continues to grow.
Our ambition is to create the UK’s largest marketplace. Our acquisition of the Debenhams brand is strategically significant as it represents a huge step which accelerates our ambition to be a leader, not just in fashion eCommerce, but in new categories including beauty, sport and homeware.”
Debenhams are said to be delighted with the collaboration with Boohoo as they attempted similar mergers over the last two years to try and save their company but they all fell through.
While devoted customers will still be able to buy from Debenhams online, their famous department stores are now sadly a thing of the past.
Debenhams had at one time operated up to eleven stores across Ireland including Dublin, Cork, Newbridge, Galway, Limerick, Tralee and Waterford.
As it stands now in Ireland many staff who were laid off from these Irish stores continue to protest outside the closed premises as they say their means of termination were unfair and cruel and they continue to do so until their concerns are addressed.