Woolworths, a British retail chain with a century-long tradition that declared bankruptcy last month, will soon be resurrected in the form of an online store, announced the largest British online retail company Shop Direct.
Shop Direct, owner of brands such as Littlewoods and Kays, announced on Monday that it has purchased the Woolworths children’s clothing brand Ladybird. Financial details of the agreement were not disclosed."Woolworths is a very popular brand that enjoys great affection from British consumers and represents an important part of British retail heritage", said Shop Direct CEO Mark Newton-Jones."We are proud to announce the revival of this brand for future generations in the year that Woolworths would have celebrated its 100th anniversary", he added.
Woolworths sought creditor protection in November. After failing to find a interested buyer, it closed the last of its 800 stores last month, resulting in the elimination of approximately 27,000 jobs. The company Deloitte, the administrator for Woolworths, stated that it is still negotiating with several interested buyers for some stores. Woolworths has faced competition from supermarkets and the internet for years and is one of a number of mostly small retail chains that have collapsed in recent months due to a decline in consumer spending under the pressure of economic slowdown. Shop Direct announced that it plans to launch the Woolworths online store this summer. (H)
