Fast fashion group Boohoo has reportedly expressed its interest in buying rival Missguided, which is said to be on the verge of administration.
The news comes as the e-tailer was faced with a winding-up order that it was served with last week by one of its suppliers, JSK Fashions, which accused the company of leaving it millions out of pocket.
According to a report by The Times, Boohoo has now entered into talks with Teneo, which is advising Missguided, with a takeover deal said to be imminent. The media outlet noted that it was currently unclear whether the group was looking at buying the brand or the entire business.
A spokesperson for Missguided told The Times: “Missguided is aware of the action being taken by certain creditors of the company in recent days, and is working urgently to address this.
“A process to identify a buyer with the required resources and platform for the business commenced in April and we expect to provide an update on progress of that process in the near future.”
A difficult year
A report by the Daily Mail earlier in May stated that a throng of retailers were also said to have expressed an interest in buying the troubled business, including the likes of Asda, Asos, Shein, JD Sports and Frasers Group.
Missguided was saved from administration last year after Alteri Investors stepped in with a rescue deal following supply chain issues and a difficult trading period for the retailer. The firm, which is now searching for a way to sell the business, invested 53 million pounds for a 50 percent stake.
According to reports, Missguided hired advisers Teneo last month after its founder and chief executive Nitin Passi stepped down from his role in the company. Passi continued to remain within the retailer’s holding company as it explored its strategic partnership options.
Missguided has not yet responded to FashionUnited’s request for comment.