The US firm has a longstanding relationship with Austin Reed and last year acted for the retailer in the drafting and issuing of company voluntary arrangements to creditors as part of the wider restructuring of the group. Now, the firm has been called in to advise its administrators, with Cathryn Williams, the head of Squire Patton Boggs’ London restructuring and insolvency practice, representing joint administrators Peter Saville, Kevin Coates and Catherine Williamson of AlixPartners.
‘Challenging market conditions’
According to a statement, the appointment of AlixPartners came as a result of ‘cash flow difficulties arising from the challenging retail market conditions’. The statement added that the joint administrators will ‘continue to trade the group while exploring all possible options for its future including a sale of all or parts of the business.’
BHS calls in Weil Gotshal & Manges
The news of Austin Reed comes only a day after BHS announced that it was entering administration. The retailer called in Weil Gotshal & Manges and appointed administrator Duff & Phelps, which turned to DLA Piper for legal counsel.
Source: The Lawyer
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