The immediate future of Select stores, including the branch at Westwood Cross, looks safe after proposals for a Company Voluntary Arrangement (CVA) were approved by 87 per cent of creditors at a meeting in Central London this morning (June 11).
High street fashion chain Genus UK Ltd, trading as Select, previously fell into administration on May 9. Following this, joint administrators, Andrew Andronikou, Brian Burke and Carl Jackson of business advisory firm Quantuma, filed CVA proposals in the High Court of Justice on May 24.
The approval secures the current employment of Select’s 1,800 staff and preserves the operation of its 169 stores, centralised head office and warehouse facilities.
Andrew Andronikou, joint administrator, said: “The approval of the joint administrator’s proposals gives the best outcome for creditors as a whole. This will mean no immediate closures of the company’s stores, and no immediate redundancies.
“This should provide a platform upon which the company can deliver changes to its operational costs and structures, allowing it to stabilise and move forwards. As widely reported, there are many challenges in the UK retail sector, a factor which has adversely affected the high street. We are therefore pleased with the outcome of today’s meeting and the support displayed by creditors in their acceptance of the proposal, which has resulted in the rescue of the business.”