Modella Capital has emerged as the leading contender to acquire Claire’s Accessories’ UK operations, following the retailer’s collapse into administration in August.
According to reports, the WHSmith investor has reached an outline agreement with Claire’s new US-based owner, Ames Watson, paving the way for a potential takeover of the UK business. The move is said to place Modella ahead of rival bidders, including businessman Touker Suleyman and Canadian entrepreneur Doug Putman.
Industry sources indicated that Ames Watson had been seeking minimum financial guarantees for the British arm as part of negotiations. Sources also confirmed that while Modella had not finalised a separate agreement with administrators Interpath Advisory, its talks with Ames Watson made an eventual deal appear increasingly likely.
Claire’s collapse into administration placed more than 2,150 jobs at risk after the company failed to secure a buyer. The accessories retailer has long been popular with younger shoppers but struggled to withstand mounting cost pressures and shifting consumer trends.
Meanwhile, Hilco Capital has reportedly re-entered the bidding process for Claire’s UK and Ireland operations, underscoring the high level of interest in the stricken chain.
