Woollen mill is now in formal liquidation

Administrators from FRP confirmed on Friday afternoon that 56 Edinburgh Woollen Mill stores have now permanently closed along with eight Ponden Home sites.

By John A. MacInnes
Monday, 9th November 2020, 9:01 am
Staff face an uncertain future while administrators try to sort through the various businesses and seek a buyer.
Staff face an uncertain future while administrators try to sort through the various businesses and seek a buyer.

The remaining 328 EWM and 65 Ponden Home stores will continue to trade, Covid-19 restrictions permitting, whilst a buyer is sought.

Administrators could not tell the Gazette if or how many staff are affected in Stornoway.

Sources say they believe a buyer is unlikely to be found and a total of 2,571 staff face losing their jobs.

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Tony Wright, joint administrator and partner at FRP, said: “Recent months have proven extremely challenging for many retailers, even those that were trading well before the pandemic, including the teams at Edinburgh Woollen Mill and Ponden Home.

“The administrations will provide some further protection while we continue our search for buyers to secure the long-term futures for both businesses.

Separately, EWM Group - owned by businessman Philip Day - has been granted a further two-week extension by the High Court to continue discussions with potential suitors for its other brands Peacocks and Jaeger.

The retailer said last month that it would go bust without filing for an intention to appoint administrators with the High Court, with 24,000 jobs in the balance.

Peacocks have a concession within the Co-op store.