Buyers close in on Claire’s UK while Bodycare chain shuts stores

Two different companies, one shared theme — the tough state of retail in the UK. News has emerged that there are two buyers vying to take on failed accessories chain Claire’s, while the struggling Bodycare chain is shutting 32 of its 147 stores.

Sky News reported that acquisition-hungry Modella Capital, and Canadian billionaire Doug Putman (another enthusiastic bidder for distressed businesses) “have both expressed interest in taking over” the Claire’s UK stores.

Modella is the new owner of WH Smith’s high street stores (to be renamed TG Jones) while Putman in the man who bought and is turning around HMV and who also tried to buy Wilko. Both are interested in Claire’s, which went into administration last month.

They’re both reported to have tabled bids but it’s unclear which of the two is ahead in the battle to buy the business or whether they have any rivals for the chain, the sale of which is being handled by Interpath.

The 278 UK shops and 28 Irish stores continue to trade while bids are assessed. But it’s believed that a number of stores will eventually close, putting jobs at risk among the 2,150 people working for the chain. There have been suggestions that a core of around 100 stores would remain.

Meanwhile Bodycare, the beauty chain with 147 stores, is closing 32 of them with 450 jobs being cut.

Sky had reported recently that it was on the brink of administration without a rescue deal. Such a deal hasn’t been forthcoming. 

The stores being closed stretch from Scotland to Southern England and include those in Edinburgh, Scunthorpe, Maidstone, Croydon, Morecambe, Wood Green, Newport, Port Talbot, Rhyl, and Wrexham.

The previously profitable company has faced a tsunami of problems in recent years including cash-strapped customers, higher costs, the delayed transition from its online retail platform, an aborted stock market listing and funding issues.

Interpath is also handling Bodycare and is seeking to sell the remaining business with 115 of the stores continuing to operate.