Office Outlet launches CVA
August 23, 2018
Office Outlet, previously Staples, has confirmed it is planning to launch a company voluntary arrangement, which will include store closures.
The CVA will also see Office Outlet “request rent-free periods from landlords”, as Property Week explains.
The retailer will close 4 out of 96 UK stores and will ask for a rent-free period of three years from landlords for 20 more of its outlets.
Hilco, which bought and branded Office Outlet two years ago, has appointed Deloitte as nominee for the CVA.
The retailer’s Chief Executive, Chris Yates, commented, “Given the challenging UK retail environment and our over-spaced and over-rented UK store estate, we are having to take tough but necessary actions to reduce our fixed cost base and restore long-term profitability.
“We have held constructive discussion with our key landlords and strategic partners and will now seek creditor approval on our CVA proposal. This will provide greater security for our staff, suppliers, landlords, customers and members.”
The CVA meeting is scheduled for 6 September 2018.
Categories : Around the Industry
Tags : Business Closures CVA Office Outlet UK
