Joules Group PLC's (AIM:JOUL) decision to appoint administrators and request trading of its shares be suspended has kicked off speculation over the clothing company’s brand.
Shore Capital’s Clive Black wrote that Frasers Group PLC (LSE:FRAS) and Next have been “hoovering” up failing brands recently, citing the question of whether they may consider buying the Joules name.
He suggested that now Joules has applied for administration in a move that has seemed “increasingly inevitable,” but risks around 1,600 jobs, there could be trade interest in the brand in light of recent market activity.
Reports emerged today that Frasers was looking to buy troubled bespoke suit tailor Gieves & Hawkes, having previously brought out Jack Wills and Missguided.
Meanwhile, Next agreed to purchase Made.com PLC last week after it went into administration.
Shorecap suggested that should Joules reappear, it would likely be a smaller venture, representing “a notch” in UK retail industry reduction, amid the removal of surplus capacity.