The fashion chain Republic collapsed into administration today to put 2500 jobs at risk and a mark a major failure for a US private equity giant.
Accountancy firm Ernst & Young was appointed as administrator at Republic, which has 121 stores and was acquired for £300 million by TPG in 2010. EY has immediately made 150 staff at the retailer’s head office in Leeds redundant.
EY’s Hunter Kelly said: “Republic suffered poor trading results in the autumn, and whilst sales picked up in December there has been a sudden and rapid decline in sales in late January. The impact on cash flows has resulted in the business being unable to continue to operate outside of an insolvency process.”Reuse content