U.K. value chain Peacocks might be one of the lucky retailers to exit bankruptcy as a going concern after landing a proposed management buyout offer.
A Peacocks spokesman said a senior e-commerce manager and a private investor submitted the offer to purchase the entire company, and keep both the employees and stores while strengthening digital.
There is no guarantee that the bid will be successful. There is also the possibility that Philip Day, who owns Peacocks through Edinburgh Woollen Mill Group (EWMG), might secure a rescue package of his own.
Peacocks fell into administration on Nov. 18, putting more than 4,900 jobs and nearly 500 stores at risk.
EWMG tried to find a buyer for chain, but was unable to do so before slipping into administration. Day was in talks for a pre-packaged arrangement for Peacocks with American hedge fund Davidson Kempner.
The coronavirus pandemic has forced a number of U.K. retail chains to either close doors or collapse into administration, the U.K. equivalent of a U.S. bankruptcy. This past week saw the insolvency of Bonmarché, which previously fell into administration in October last year before Peacocks rescued the specialty chain. And bankrupt department store retailer Debenhams faces liquidation after talks with JD Sports fell through.