Whittard nears administration

Dec 23, 2008

The Whittard of Chelsea chain of shops is understood to be close to calling in administrators after falling into financial difficulty.

The owners of the business, which sells tea, coffee and crockery, are actively seeking a buyer, a source close to the company said.
Ernst and Young had been lined up to act as administrators if needed, the source added.

Whittard has 130 stores in the UK and was founded by Walter Whittard in 1886.

It was bought by the Icelandic investment company Baugur in 2005 for about £21m. Baugur itself was hit by turmoil in Iceland's economy earlier this year.

The source added: "Whittard is still trading and it has not filed for administration yet. It's still talking to potential buyers."

Even if the company did go into administration, "buyers could potentially still buy it, as a whole or part of the business", they said.

Source: BBC

• del.icio.us
• digg
• Furl
• Reddit
• YahooMyWeb
• blogmarks