Clothing chain ‘on brink of administration’

A series of complex talks between Cardiff-based Peacocks and equity and debt holders have delivered no solutions, reports said, leaving the future of the company hanging in the balance.

Bon Marche, the 200-shop retailer which is part of the Peacocks Group, is understood to be close to being sold, but there is uncertainty around the remaining 550 Peacocks stores.

Peacocks, owned by hedge funds Och-Ziff and Perry Capital, has been boosted by the success of a collaboration with the singer-turned-fashion designer Pearl Lowe. Like-for-like sales rose 17 per cent over the Christmas period.

The key issue at Peacocks is reportedly related to whether its banks, led by Barclays and Royal Bank of Scotland, were willing to take a loss on the debt they are owed.