News

8/2/11: 22 British Bookshops stores sold to WH Smith

The Administrators of British Bookshops and Stationers (BBS), Zolfo Cooper, announced today that WH Smith High Street has acquired 22 stores. The sale follows the appointment of Zolfo Cooper on 13th January 2011, after BBS’ trading performance had deteriorated in the latter part of 2010.

Leading restructuring specialist GA Europe will continue to assist the administrators in operating the 22 stores during a phased handover period commencing on 22nd February 2011. GA Europe will also continue to assist with the ongoing trading of the remaining 28 stores, whilst the administrators continue to seek expressions of interest. In the event that the administrators do not receive interest in the properties, GA Europe will assist with a store closure programme.

Commenting on GA Europe’s involvement, Managing Director Gavin George said, “GA Europe's key capability is to deal effectively with, and secure the best result from distressed retail situations. This service maximises returns for creditors and helps provide administrators with the time and flexibility to find the optimum solution for the business moving forward.”

“At BBS, following the appointment of Zolfo Cooper as administrator, GA Europe took control of a very difficult trading situation and by running a programme of targeted price discounts, we have been able to drive sales significantly. This is the second recent transaction in which GA Europe has been involved where part of the business has been sold."

Previous to the purchase of BBS’ outstanding debt, GA Europe acquired the debt, equity and inventory of Speciality Retail Group, trading as Suits You, on 27th October 2010. Some 15 of the 66 stores were ultimately sold back to former owner Baird Group in January 2011.

ENDS

For further information please contact:

Gavin George GA Europe 020 3178 4760
European Managing Director