Patisserie Valerie outlets across the North West could be under threat of closure after the national café chain fell into administration.
KMPG has confirmed 70 stores and concessions under the Patisserie Holdings umbrella will close, with 121 other branches continuing to trade as options for the business are assessed.
It was announced yesterday that Blair Nimmo and David Costley-Wood from KPMG have been appointed as joint administrators to Patisserie Holdings plc.
Patisserie Holdings plc operates five different brands including Patisserie Valerie, Druckers Vienna Patisserie, Philpotts, Baker & Spice and Flour Power City.
Patisserie Valerie, Philpotts and Druckers have branches throughout the North West but it’s unclear at this stage which ones, if any, will be shutting.
In a statement, Patisserie Holdings plc announced that “as a direct result of the significant fraud referred to in previous announcements, it has been unable to renew its bank facilities, and therefore regrettably the business does not have sufficient funding to meet its liabilities as they fall due”.
KPMG is expected to provide further details today (23 January) regarding which stores which will be affected by closure.
Nimmo, head of restructuring at KPMG, says: “Our intention is to continue trading across the profitable stores, as collectively, the brands have a strong presence on the high street and have proven very popular with consumers.
“At the same time, we will be seeking a buyer for the business and are hopeful of a good level of interest.
“Unfortunately, however, we have had to take the difficult decision to close 70 stores resulting in a significant number of redundancies.
“We will be working with those affected employees, providing all support and assistance they need.”