Monday March 19, 2018
Edge Accessories Limited and Edge Accessories Holdings Limited (“the Companies”) have been acquired out of administration in a pre-pack deal that has safeguarded 22 UK jobs and a further 23 outside the UK.
Edge Accessories Limited designs and supplies cosmetic jewellery to high street fashion retailers and trades from two sites in Weymouth and Uxbridge. Edge Accessories Holdings Limited owns shares in a number of international subsidiaries trading in various sites in Europe and the Far East.
Arvindar Jit Singh and Raj Mittal, Partners in our Birmingham office, were appointed Joint Administrators on 2 March 2018 after the business had suffered cash flow pressures. Upon appointment, the Joint Administrators secured the sale of the Companies and all assets to White Label Fashion Limited, an independently owned clothing wholesaler.
Commenting on the transaction, Arvindar said: “The Companies suffered cash flow problems after a number of international customers became subject to Chapter 11 proceedings. The directors engaged us early, which gave us time to evaluate all possible routes forward. Given the financial situation the business experienced, a sale via Administration delivers the best outcome for creditors, while also minimising disruption to customers and saving all 22 UK jobs.”
The business will continue to trade from its existing sites in Weymouth and Uxbridge.
We were advised on the sale of the business by Gateley LLP.