Ann Summers owners explore options amid widening losses
It is understood that the Ann Summers owners have been negotiating with Interpath for several weeks, although it has yet to be formally instructed
The owners of Ann Summers, the Gold family, are reportedly lining up Interpath Advisory to explore options for the high street retailer, which could include a partial or majority sale, according to Sky News.
This comes after it was found last week (20 November) that the owners had stepped in with a £5m cash loan as Ann Summers is dealing with widening losses.
Once hired, the corporate advisory firm would be responsible for undergoing a strategic review, which could lead to the disposal of a big stake in the chain.
It is understood that the Ann Summers owners have been negotiating with Interpath for several weeks, although it has yet to be formally instructed.
The high street chain was founded in 1971, and was acquired by David and Ralph Gold when it fell into liquidation in the following year. Ann Summers currently trades from 83 stores and employs over 1,000 people.
While the Golds currently own 100% of the equity in the company, a future deal would dilute the family’s interest. However, it is not clear at this time whether they would sell a controlling stake in Ann Summers.
Vanessa Gold, chair of Ann Summers, told Retail Sector: “We, like many other retailers, are dealing with the unhelpful backdrop to business of the decisions announced by the government at the budget and the rising cost to retail.
“As a family-owned business, we are in a fortunate position and have committed investment for over 50 years. This has created a robust and resilient business.”
She added: “We are exploring a number of options to further grow the brand into 2025 and beyond.”
