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M&S store closures
  • Published:
    31 January
  • Area of Law:
    Restructuring

Sean Moran comments on Marks and Spencer store closures

Sean Moran, partner and restructuring specialist, comments on the news that Marks and Spencer are to close stores in the UK;

“This news is not surprising as M&S has experienced well publicised difficulties with its clothing and home space offering in what is a challenging time for the retail marketplace.

M&S is in a similar position to the high profile retail casualties of 2017, including Palmer & Harvey, MultiYork and Toys r Us. A combination of outdated store portfolios and the failure to adapt swiftly enough to the rise of online trading has forced businesses in this sector to restructure their operations including using a company voluntary arrangement as a mechanism to ensure business survival.

M&S seems to be taking proactive steps to assure the market that a reorganisation which focuses on consolidation of its core strengths as a strong mid-market food retailer whilst closing or downsizing less profitable stores on the retail side.”

"This is exactly why we like to work with people who understand the industry and can identify potential issues and create solutions."

Jon Saltinstall, Senior HealthCare Banking Consultant, Lloyds Bank