A popular high street fashion retailer, admired by Kate Middleton, is facing potential administration. LK Bennett has taken steps towards appointing an administrator by filing a notice at the High Court, initiating a temporary legal protection period against creditor actions for ten days.
This marks the second instance in recent weeks that LK Bennett has signaled its intentions, with the company reportedly seeking guidance from Alvarez & Marsal. Founded in 1990 by Linda Bennett, known as the “Queen of the Kitten Heel,” the brand once boasted 200 stores nationwide but now operates only nine standalone stores and 13 concessions.
In 2008, Linda Bennett sold the business for around £100 million to a consortium led by Phoenix Equity Partners. In 2019, LK Bennett was rescued from administration by its current Chinese franchise partner, Byland UK, overseen by Rebecca Feng.
Recent reports suggest that Next is eyeing a possible deal for LK Bennett, focusing on acquiring the brand and its intellectual property assets rather than its physical stores. LK Bennett reported a post-tax loss of £3.5 million on a turnover of £42.1 million in its latest financial accounts.
Next is also reportedly exploring the acquisition of family-owned shoe retailer Russell & Bromley, with 37 stores across the UK. Russell & Bromley, established in 1880, has attracted interest from multiple fashion brands, with Next being one of the contenders. The company is currently led by Andrew Bromley and employs over 450 individuals.
Next’s interest in expanding its brand portfolio aligns with its previous acquisitions of Cath Kidston, Joules, Seraphine, and Made.com in recent years.
