New blow to rescue hopes for House of Fraser

Hopes of a rescue for department store House of Fraser have received a fresh blow as it emerged that relations with tycoon Mike Ashley had deteriorated.

The struggling chain owns Wolverhampton’s iconic Beatties and operates House of Fraser department stores in Shrewsbury and Telford.

Beatties in Wolverhampton

It has been in desperate talks to save the business after a £70 million lifeline from a Chinese conglomerate was pulled on Wednesday.

Sources said the company could be forced to call in administrators 'within weeks' if new funds fail to arrive.

Ashley, who owns the Sports Direct chain and Newcastle United football club, has an 11 per cent stake in House of Fraser and has been tipped as a possible rescuer.

The House of Fraser store in Shrewsbury

His representatives are understood to have made an approach to the company through advisers at Rothschild.

Other potential saviours include rival retail billionaire Philip Day, who owns a string of brands including Edinburgh Woollen Mill, Peacocks and Austin Reed.


There is also understood to be interest from retail turnaround funds Hilco and Alteri.

But last night it appeared that hopes of a lifeboat bid by Ashley are growing increasingly distant.

Ashley, whose Sports Direct chain also owns almost 30 per cent of House of Fraser rival Debenhams, has already been forced to write off his stake in House of Fraser.

Beatties is lined up to shut in the new year along with the former Rackhams in Birmingham and branches in Telford and Shrewsbury.

Date: 05 August 2018 | Source: Shropshire Star

More Telford News

 Raise a glass to Telford pubs of the past - and those still serving

The Unicorn. Pear Tree Bridge. The Rose and Crown. With 11 pubs in 2.7 mil..

 Cash and a mobile phone stolen as burglars target Telford school

Burglars took cash and a mobile phone during a break-in at a Telford schoo..

 Cult horror, comedies - and coracles - on screen for new Telford Film Festival

From coracles on the Severn to zombie attacks and footballing legends – a ..

 Driver's ‘concentration lapse’ caused motorcyclist's death on A5

A driver whose ‘brief lapse in concentration’ led to the death of a motorc..

 Doreen gets last laugh at Telford Big Top show

Hundreds of people turned out for the last show celebrating Telford's 50th..

 Thanks to Telford life saver as campaign launched to map defibrillators across region

A Telford man today offered his heartfelt thanks to a stranger who saved h..
View More

More UK News

House of Fraser warehouse jobs at risk, union says

The GMB union says 627 staff at two sites run by XPO Logistics are at risk of redundancy

Manchester Arena bomb: Fire chief blames police for delay

Ex-chief fire officer says police did pass on information about the Manchester Arena attack

'Despicable' thieves steal from Salford food bank

Staff reportedly burst into tears after goods worth about £2,500 were stolen from the Salford food b..

John McDonnell calls Lehman Brothers reunion 'sickening'

The collapse of the US investment bank in 2008 was a crucial moment in the financial crisis

Uber and Deliveroo drivers 'more likely to crash'

Drivers and couriers who get their work from apps face a "heightened risk" of crashes, a study sugge..
View More

Telford Businesses

Calendar Countdown

[[countdown here]]

Upcoming Events in Telford

01 Sep 2018

Saturday 3rd September 10.00am to 5.00pm

Sunday September 4th 10.00am to 4.00pm

£5 members and £10 non members. All tickets admit purchaser, partner and two children under 16

View Details

02 Sep 2018

Doors open 2pm
Performance starts 5pm

Adults £17.50, Child 11.00. Family - 2 Adults, 2 Children £49.22.

View Details

22 Sep 2018

9:30am - 5pm


View Details

22 Sep 2018



View Details
View More