After more than six months of trouble and uncertainty, a mystery buyer has scooped up womenswear chain Shanton Fashions. Liquidator Gareth Hoole declined to reveal the identity of the buyer, but confirmed that they were based in New Zealand. He told The Register that there would likely be publicity around a rebranding of Shanton, if the buyer chose to go down that path.
Hoole told the New Zealand Herald that he did not know how many of Shanton’s outlets would remain open.
The store has had a rocky path this year. The mid-market womenswear chain was put into voluntary administration in January, owing $7.8 million to 206 creditors. BWA Insolvency administrator Bryan Williams attempted to salvage the company, which then had assets totaling $3.35 million. Its debtors included the IRD, and it also owed outstanding holiday pay to employees.
A first attempt to sell Shanton was made earlier this year, with BWA Insolvency reporting nine expressions of interest, but the deal did not then meet with creditor approval.
Williams called for the company to be put into liquidation in March, but the business instead returned to the hands of its owners Inderjit Luthera, Vijesh Bhagwan Nangia and Pala Petrochem (owned by Mandeep Pala). Shanton’s liquidation was announced in June.
Shanton was today advertising a “stock liquidation sale” on its website, with free delivery also added. The 18 remaining stores, down from a former 37, are still listed online and appear to be trading.