TM Lewin is in administration... again
Changing consumer habits are far as formal clothing is concerned seem to have been a theme of multiple news stories this week and here’s another with the sad news that formalwear specialist TM Lewin has collapsed into administration for a second time.
Interpath Advisory is handling the process with Will Wright and Chris Pole acting as administrators.
It’s a big turnaround from the pre-pandemic period when the firm was operating out of 150 stores globally. But its pre-pack administration in summer 2020 saw it moving to an online-only model as consumers ramped up their e-shopping around the world.
Yet that didn’t save the 120-year-old label as working-from-home, formal social events still not being back to normal and men’s overall tastes having become a lot more casual meant its core product saw much lower demand. All of this has dented cash flow.
Will Wright said: “Over the course of the pandemic, men’s apparel – and formalwear in particular – has been one of the hardest hit parts of the retail sector, as work-from-home measures and restrictions on events meant demand for suits and formal tailoring waned.
“Unfortunately, and despite the company undergoing a significant restructuring at the start of the pandemic which saw it move to an online model, the impact on this famous British brand has been severe. Our immediate priority is to explore options for the business, including a sale of the business and its assets.”
TM Lewin had been bought for around £25 million by investment firm Torque in May 2020 but was put into a pre-pack administration the next month.
The firm’s previous administration filing left unsecured creditors almost £30 million out of pocket, according to reports earlier this year.
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