The bid follows the announcement last month that Peacocks parent company EWM Group had placed the company in the hands of administrators

The bid follows the announcement last month that Peacocks' parent company EWM Group had placed the company in the hands of administrators

Administrators of fashion retailer Peacocks have received a management buy-out (MBO) proposal that could prevent UK-wide store closures and save 4,908 jobs. 

The bid from a senior e-commerce manager at Peacocks Stores and private investor Phoenix Wales follows Peacocks' collapse into administration last month.

The proposal sets out to purchase the full company, its employees, and its stores. It also promises to strengthen Peacocks stores and digital offering with a clear plan of investment into developing the e-commerce element of the business.

Peacocks is based in Cardiff, employs 4,908 staff, and has 470 stores and concessions across the UK. A representative from the MBO said that if the submission is successful, the company will keep its base of operations in the South Wales area and will continue to support the Welsh economy and employment.

"The MBO team is confident that with the right investment, they can drive forward innovation, bring about brand recovery, and achieve a quick return to financial sustainability. With plans for short-term investment coupled with longer-term reinvestment, they propose injecting a fresh sense of purpose into Peacocks, safeguarding its future in spite of the on-going challenges high street retailers across the UK are facing."

Administrators FRP told just-style there are a "number of interested parties" but declined to comment on the MBO directly, noting further updates will be provided once the bid process is complete, which is likely to be in the next couple of weeks.

It is understood the MBO is not linked in any way by the previous owners or directors of Peacocks or the parent company, Edinburgh Woollen Mill (EWM) Group.

The pandemic has wreaked havoc on the UK high street, with this week also seeing the demise of department store retailer Debenhams and Arcadia, which owns the Topshop and Dorothy Perkins brands, among others.

Owned by British retail tycoon Phillip Green, Arcadia Group fell into administration on Monday (30 November), with 13,000 jobs now at risk.

Meanwhile, Debenhams says it will begin a wind-down of its operations after JD Sports Fashion, Britain's largest sportswear retailer, ended rescue talks this week and administrators failed to find an alternative buyer for the business.

UK-based women's value clothing retailer Bonmarché has also this week gone into administration for the second time in just over a year.

According to GlobalData Retail, potential buyers of Jaeger and Peacocks must focus on digital developments if the brands are to survive in the long-term.