Regis UK gets rescue deal but some salons will close
Entrepreneur Lee Bushell reached a deal with the administrator via his Bushell Investment Group that has supported a management buyout. It means the purchase of 140 salons trading under the Supercuts and Regis brands in Britain. However, around 60 salons are expected to close with the potential loss of 200 jobs.
Bushell, who previously ran Guardian Jewellery Co, a gold-buying business, praised the "superb management team” at Regis, which is the largest salon operator in Britain via its two brands.
Regis had gone into administration in October with Deloitte having been appointed to oversee its ongoing operations and find a buyer.
It comes after several difficult years for the chains that had seen some salon closures already. The business last made a pre-tax profit in 2011, a year when revenues were £89 million. Six years later (the last year for which we have figures) they were only £65.3 million.
Like many in the retail sector, it has also been seeking to strike cheaper rent deals on many of its spaces.
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