Commenting on the Company Voluntary Arrangement (CVA) proposal announced by Baird Group, Howard Smith, associate partner at KPMG, joint nominee and proposed joint supervisor of the CVA said.
"Baird Group has a proud heritage in the menswear market, with a number of popular high street brands."
“However, the business has been impacted significantly by the strong headwinds facing the retail sector, including the performance of its concession partners, a sub-sector of retail which has seen a high level of insolvencies in recent years. These challenges were then further exacerbated by the impact of the COVID-19 pandemic.
“The CVA therefore forms a key plank of a wider turnaround programme, which seeks to move the business away from a reliance on concessions, high street channels and workwear categories, instead focussing investment on attractive outlet centres and online sales.”
The CVA proposal divides the store portfolio into two categories as follows:
Baird Group needs to secure at least 75% creditor approval by value for the CVA for it to proceed. Detailed proposal documents will be made available to creditors via a dedicated website today. The creditors will vote on the CVA on 10 August 2020. Consultations have already taken place with key creditors and KPMG will spend the coming weeks in further talks with key creditors to ensure they understand the full detail of the proposal.
For further information, please contact:
Katy Broomhead, Senior PR Manager
Tel: 0161 264 4623 / 07824 537963
KPMG Press Office: 020 7694 8773
KPMG LLP, a UK limited liability partnership, operates from 21 offices across the UK with approximately 17,600 partners and staff. The UK firm recorded a revenue of £2.40 billion in the year ended 30 September 2019. KPMG is a global network of professional firms providing Audit, Tax, Legal and Advisory services. It operates in 154 countries and has 200,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.
© 2020 KPMG LLP a UK limited liability partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.
For more detail about the structure of the KPMG global organisation please visit https://home.kpmg/governance.